NCD MB Handbook of Operational Guidelines

NIGERIAN CONTENT DEVELOPMENT
&
MONITORING BOARD
(NCDMB)
HANDBOOK
OF
OPERATIONAL GUIDELINES
Published April 2016
(c) 2016 NCDMB PROPRIETARY
These Operational guidelines are protected under the copyright laws. All rights reserved, including the right
to reproduce these guidelines or portions thereof. Reproduction in whole or part without the written
permission of NCDMB is prohibited.

PREFACE

The Nigerian Oil and Gas Industry Content Development Act, 2010 NOGICD ACT or the Act was
enacted to enhance the development of local content in Nigerias Oil and Gas Industry. Targeting the
promotion of Nigerian participation in the Oil and Gas Industry Industry, the Act provides exclusive
consideration for Nigerian indigenous service companies who demonstrate ownership of equipment, as
well as Nigerian personnel and capacity in the execution of jobs in the Industry.
Section 2 of the Act provides that:

All regulatory authorities, operators, contractors, subcontractors, alliance
partners and other entities involved in any project, operation, activity or
transaction in the Nigerian Oil and Gas Industry shall consider Nigerian Content
as an important element of their overall project development and management
philosophy for project execution.
The provision underscores the seriousness attached by the Government to the critical issue of developing
Nigerian capacities and capabilities in every area of the Oil and Gas sector.
The responsibility for the implementation and enforcement of the Act rests with the Nigerian Content
Development and Monitoring Board; the NCDMB or the Board set up under Section 69 of the Act.
The main focus of the Board is to ensure continuous and measurable growth of Nigerian Content in all oil
and gas projects, operations and transactions.
Section 70 prescribes the functions and mandate of the Board; these include implementation of the
regulations made by the Minister in relation to any aspect of the Act; the supervision, coordination,
administration, monitoring and management of the development of Nigerian Content in the Industry; as
well as supervision, coordination, administration and monitoring of the implementation and development
of Nigerian Content as specified in the Schedule to the Act.
In summary, the mandate of the Board includes monitoring of the implementation of set Nigerian Content
targets; developing interventions to ensure that targets are met and ensuring compliance with Government
directives covering the service providers and operators in the Nigerian Oil and Gas Industry.
i
Section 70 (p) mandates the Board to, do legally anything necessary to be done to facilitate the
carrying out of its functions.
Further to its mandate and the provisions of Sections 4, 63and 70(i), the Board has powers to formulate
Guidelines and procedures which give guidance to operators about their obligations under the Act. The
Guidelines are also issued to prescribe the process which must be followed for obtaining the pre
requisite mandatory approvals which any operator, company or entity engaged in or interested in
undertaking any business activity in the Industry requires before commencing such project.
Compliance with the Act, the Guidelines, procedures as well as directives issued by the Board to
stakeholders in the Industry pursuant to the provisions of the Act, is mandatory. This derives from the
unequivocal and explicit provisions of Section 3(3) of the Act which provides that:
compliance with the provisions of the Act and promotion of Nigerian Content
development shall be a major criterion for award of licences, permits, and any other
interest in bidding for oil exploration, production, transportation and development or any
operations in the Nigerian Oil and Gas Industry.
Since its inception, the Board has been issuing Guidelines, Public Notices as well as procedures on
various Nigerian Content requirements in order to ensure compliance with the provisions of the Act.
Recently, and for ease of reference, the Board took a decision to compile, revamp and collate the said
issued Guidelines/ Public Notices, and publish them all as a HANDBOOK. Other relevant newly
prescribed Guidelines are also included in the Handbook- these include the :
Free Trade & Export Processing Zones Guidelines which illustrate the collaborative
framework amongst NCDMB and two other Federal Government Agencies for the
implementation of the Act within the Free Trade/ Export Processing Zones; and
Guidelines on Fabrication and Welding: Education, Training, Qualification and

Certification Services, which is to implement the provisions of Section 53 of the
Act.
The advantage of the Handbook approach is that information relating to Nigerian Content requirements as
well as stakeholders obligations thereon is being made available in one volume/ publication. This
facilitates quick access to the requirements and provides guidance to the Industry and other stakeholders
on the subjects covered therein.
The expectation of the Board is that having such clear and easily accessible guidance on their Nigerian
Content obligations would engender a higher compliance level on the part of Industry; the outcome of
which will be of tremendous benefit to all stakeholders.
This Handbook also serves to apprise all stakeholders that, henceforth, the rules of engagement in the
Industry have changed; and that compliance with the Nigerian Content requirements as captured in the
Guidelines published as well as subsequent reviews thereof, shall be enforced as required by law.
ii
In line with its practice, NCDMB will continue to interact with all relevant stakeholders to ensure
continuous exchange of constructive ideas geared towards the achievement of its objectives.
Following the dynamics of the sector, the Board will amend and/or review these Guidelines as the need
arises.
National aspirations; Trends and Practices in the Industry; Responsiveness to emerging trends and shifts
in the industry that may have significant implications on the achievement of the objectives of the
NOGICD Act shall guide the Board in doing its periodical reviews accordingly.
iii
CONTENTS
1. Preface
2. Introduction: Local Content in the Nigerian Oil and Gas Industry
3. Definitions and Interpretation
4. Guidelines and Templates
5. Periodic Statutory Reports
6. Implementation and Enforcement
7. Review Procedure
8. The Nigerian Oil and Gas Industry Content Development Act, 2010
2. INTRODUCTION TO LOCAL CONTENT IN THE

NIGERIAN OIL & GAS INDUSTRY
BACKGROUND
1. "The golden era of easy oil is over," so declared Accenture in its report entitled Developing Local
Content Programs1*.
2. "Today the rules of the game have changed: Developing local economies, stimulating industrial
development, increasing local capability, building a skilled workforce and creating a competitive
supplier base are minimum requirements for doing business with host countries and national oil
companies," the report correctly asserted.
3. Emerging economies have long acknowledged the necessity for their citizens to take ownership
and control of their natural resources for exploitation and transformation into economic
development. In order to achieve this goal, various policies and legal frameworks have been
pursued by the administration of these developing countries.
THE NIGERIAN OIL & GAS INDUSTRY CONTENT DEVELOPMENT ACT, 2010
4. Taking a cue from the global trend, the Nigerian Government in April 2010 promulgated the
Nigerian Oil & Gas Industry Content Development Act, the NOGICD Act or the Act.
5. Until a few decades ago, the Nigerian Oil and Gas Industry, the Industry was almost the
exclusive preserve of the international oil companies in areas ranging from exploration to
production, refining and trading. In the 1960s, the downstream operations were initially
controlled by expatriate companies.
6. As a precursor to its promulgation of the Act, the Federal Government of Nigeria had in the past
made deliberate efforts to domesticate a significant portion of economic offshoots from the
Industry by encouraging the development and deliberate utilization of Nigerian indigenous
human and material resources in the Oil and Gas Sector. Such efforts led to the formulation of a
number of local content- friendly policies, including the establishment of the Nigerian Content
Division of the Nigerian National Petroleum Corporation NNPC to monitor and implement the
1
www.Accenture.com
1
Nigerian Content NC agenda. This stimulated a consciousness in Nigerian Indigenous

Companies to participate actively in activities within the Nigerian Oil & Gas Industry.
7. Accordingly, by the 1990s, the Government sought to Nigerianize the sector by awarding
onshore and offshore oil blocks to Nigerian entrepreneurs through competitive bidding.
Yet as recently as 2008, analysts posited that although the Oil and Gas Industry accounted for
90% of Nigerias revenue, it contributed less than 38% to the Countrys GDP.
8. Apparently, one major cause of this anomaly was the absence of a legal or statutory framework
for Nigeria to harvest the technological, industrial and capital assets being generated by oil and
gas activities for diffusion into the local economy.
RATIONALES
9. Giving the rationales behind his sponsorship of the Bill that led to the passage of the Act by the
National Assembly in 2010, Senator Engineer Lee Ledogo Maeba in his Book titled The
Nigerian Oil and Gas Content Industry- Content Development Act: Simplified, explained that
the aim was :
to change the face of the Nigerian oil industry.............to empower our people,
especially in the oil producing communities to partake in the industry as
partners for the benefit of our children and future generations.
LOCAL CONTENT DEFINITION
10. Section 106 of the Act defines Nigerian Content NC as

the quantum of composite value added to or created in the Nigerian economy by a
systematic development of capacity and capabilities through the deliberate utilization
of Nigerian human, material resources and services in the Nigerian Oil and Gas
industry
OBJECTIVES OF THE ACT
10.1 The Nigerian Oil and Gas Industry Content Development Act, 2010 was enacted to enhance the
development of local content in Nigerias Oil and Gas Industry. The law targets the promotion of
Nigerian participation in the Oil and Gas Industry. The Act provides exclusive consideration for
Nigerian indigenous service companies who demonstrate ownership of equipment, as well as
Nigerian personnel and capacity, to execute jobs in the Nigerian Oil and Gas Industry.
10.2 In simple terms, the driving force behind the legislation is to employ Nigerian skills and
resources in local projects, in job creation and deepening the local supply chain.
11 The overall goal of the Act is to achieve the domiciliation of a greater spend of the Industry in
Nigeria, as reflected in Section 2 of the Act which provides that:
All regulatory authorities, operators, contractors, subcontractors, alliance

partners and other entities involved in any project, operation, activity or
transaction in the Nigerian Oil and Gas Industry shall consider Nigerian content
as an important element of their overall project development and management
philosophy for project execution.
12 The provision of Section 2 of the Act underscores the seriousness attached by the Government to
the critical issue of developing Nigerian capacities and capabilities in every area of the Oil and
Gas sector.
FOCUS AREAS
13.1 The focus areas of the Act include the following; namely, the :
a. development of indigenous skills across the oil and gas value chain;
b. promotion of indigenous ownership of assets and use of indigenous assets in oil and gas
operations;
c. enhancement of the multiplier effect to promote the establishment of support industries;
and
d. creation of customized training and sustainable employment opportunities.
13.2 The NOGICD Act contains various provisions designed to ensure that Nigerias resources provide
tangible benefits to the local population, and that projects leave behind legacy investments for
sustainable development. The Act provides for adequate utilization of in-country resources; Capacity
and Capability, through a specified Nigerian Content Plan that promotes the deliberate use of
Nigerian goods, services, equipment and labor in the Oil and Gas Industry.
13.3 In line with the provisions of Section 3(1) for instance, the Act stipulates that
Nigerian independent operators shall be given first consideration in the award of oil
blocks, oil field licences, oil lifting licences and all projects for which contract is to be
awarded in the Nigerian Oil and Gas Industry, subject to the fulfillment of such
conditions as may be specified by the Minister.
13.4 The Act requires that all international or multinational companies working through their
Nigerian subsidiaries demonstrate that at least 50% of the equipment deployed for execution of
work is owned by the Nigerian subsidiaries.
THE NIGERIAN CONTENT DEVELOPMENT AND MONITORING BOARD
14.1 The responsibility for the implementation and enforcement of the Act rests with the Nigerian
Content Development and Monitoring Board the NCDMB or the Board.
14.2 The main focus of the Board is to ensure continuous and measurable growth of Nigerian content in
all oil and gas projects, operations and transactions.
Functions of the Board
14.3 Section 70 prescribes the functions/mandate of the Board which include the following; namely :
implementation of the Act;

implementation of the regulations made by the Minister in relation to any aspect of the
Act;
supervision, coordination, administration, monitoring and management of the
3
development of Nigerian Content in the Industry; as well as

supervision, coordination, administration and monitoring of the implementation and
development of Nigerian Content as specified in the Schedule to the Act.
14.4 Section 70 (p) mandates the Board to do legally, anything necessary to be done to facilitate the
carrying out of its functions.
14.5 The powers of the Board can be summarized as follows, namely, to:
a. monitor the implementation of set Nigerian Content targets;

b. develop interventions to ensure that these targets are met; and
c. ensure compliance with Government directives covering the service providers and
operators in the Nigerian Oil and Gas Industry.
14.6. Section 71 of the Act established for the Board, a Governing Council, GC with the responsibility
of conducting the affairs of the Board. The Chairman and members are to be appointed by the President,
on part time basis, whilst the Executive Secretary, ES who is Secretary to the Council, has
responsibility for running the affairs of the Board on full time basis.
14.6 Governing Structure of the Board
14.7 Organizational Structure
The Board is organized around four (4) Directorates and two (2) Divisions reporting to the Executive
Secretary.
KEY FEATURES OF THE ACT
15.1 To further underscore the importance which the Act places on the development and growth of
Nigerian Content, its provisions cover, among others, the mandatory use of Nigerian legal and financial
professional services; mandatory Research and Development initiatives targeted at local industry gaps, as
well as planned initiatives aimed at promoting the effective transfer of technologies from the operators
and alliance partners to Nigerian individuals and companies.
15.2 Being mindful that one of the pillars on which the NC model is founded is Capacity Building, the
Act places emphasis on Training, and empowers the Minister to prescribe the minimum standards,
facilities, personnel and technology for training in the Industry. Also where there are training and/or
capacity gaps, the Act stipulates in its Section 30 that every reasonable effort shall be made within a
reasonable time to supply such training to Nigerians.
15.3 In furtherance of this, all Operators and Alliance Partners are required to make 4 years succession
plans that shall automatically Nigerianise any position occupied by expatriates as a result of perceived
training and /or capacity enhancement.
15.4 Section 106 defines operator as
the Nigerian National Petroleum Corporation (NNPC), its subsidiaries and

Joint venture partners and any Nigerian, foreign or international oil and
Gas company operating in the Nigerian Oil and Gas Industry under any
Petroleum arrangement
and partner as
any foreign company working on any project in partnership or as major

contractor to an operator.
16.1 The second pillar girding the Nigerian Content philosophy is monitoring and enforcing
compliance; and in order to give effect to this philosophy, Section 59 of the Act empowers the Board to
undertake an effective monitoring of the implementation of the provisions of the Act.
16.2 In this regard various provisions of the Act prescribe methodologies for the Boards intervention and
supervision of the Industry. These include provisions empowering the Board to issue directives to
operators, contractors and other entities or persons in order to develop processes to facilitate reporting of
activities relating to every aspect of the Act.
16.3 The three (3) most important tools provided by the Act for monitoring and enforcing compliance are
as follows; the:
a) Nigerian Content Plan: which every operator must submit to the Board before carrying
out any project in the Industry, including contracts, subcontracts, or bid for any licence,
permit or other interest in oil and gas;
b.) Nigerian Content Compliance Certificate: which must be obtained prior to the
commencement of any project whose value is estimated to be above USD 1 million; and
c.) approval of the Board prior to application to the Ministry of Internal Affairs or any
5
other agency, or Ministry of the Federal Government for the grant of expatriate quota
positions.
16.4 Some of the provisions of the Act which emphasize the importance of monitoring all activities in
the Industry by the Board are as follows; namely :
a. Section 4 which gives the Board the power to make procedure that will guide,
monitor, coordinate and implement the provisions of the Act;
b. Section 5 which stipulates that the Board shall implement the provisions of the Act
with a view to ensuring a measurable and continuous growth of Nigerian content in all
oil and gas arrangements, projects, operations, activities or transactions in the
Nigerian Oil and Gas Industry;
c. Section 59 which provides that the Nigerian Content Development and Monitoring
Board shall undertake an effective monitoring of the implementation of the
provisions of the Act, and
d. Sections 70 (c) and (d) which empower the Board to monitor and manage the
development of Nigerian Content in the Nigerian Oil And Gas Industry; and to
supervise, coordinate, administer and monitor the implementation and development of
Nigerian content as specified in the Schedule.
NCDMB OPERATIONAL GUIDELINES
17.1 The combination of several provisions of the Act, including those listed in paragraph 16 above,
makes it imperative for the Board to formulate Guidelines and procedures which give guidance to
operators about their obligations under the Act; as well as prescribe the process which shall be followed
by any operator, company or entity engaged in or interested in undertaking any business activity in the
Industry, for obtaining the mandatory approvals they require before commencing all such projects.
17.2 These include the provisions of :
Section 4 which empowers the Board to make procedure that will guide, monitor and coordinate
the implementation of the Act;
Section 63 which provides that the Board shall issue directives to operators, contractors and
other entities or persons in order to develop a process to facilitate reporting of activities relating
to any aspect of the Act; and
Sections 70(i) which mandates the Board to make procedures to guide the implementation of the
Act and to ensure compliance with all the provisions of the Act.
COMPLIANCE AND ENFORCEMENT
18.1 Compliance with the Guidelines, the procedures as well as directives issued to stakeholders in the
Oil and Gas Industry by the Board pursuant to the provisions of the Act, is mandatory.
18.2 This derives from the unequivocal and explicit provisions of Section 3(3) of the Act which provides
6
that
compliance with the provisions of the Act and promotion of Nigerian Content
development shall be a major criterion for award of licences, permits, and any other
interest in bidding for oil exploration, production, transportation and development or any
operations in the Nigerian Oil and Gas Industry.
18.3 The provisions of the Act require Operators to supply sufficient information and materials as well
as comply with the directives issued specifically or generally to operators in the Industry to the
satisfaction of the Board, otherwise, the Board will be under no obligation to issue the mandatory
Certificate of Authorization, the Nigerian Content Compliance Certificate NCCC, or its pre- approval
required for the grant of expatriate quotas for the staff required on the project by Operators.
19. To enable the Board implement its functions and in the exercise of the powers given to it by the
Act to ensure compliance with its provisions, the Board considers that it is important to apprise all
stakeholders that, henceforth, the rules of engagement in the Industry have changed; and that compliance
with the Nigerian Content requirements as captured in the Guidelines published in this Handbook as well
as subsequent reviews thereof, shall be enforced as required by law.
CONTINUOUS ENGAGEMENT WITH STAKEHOLDERS
20.1 With the Board stepping up its efforts to revamp and publish comprehensive guidelines and with the
reporting requirement as the first stage of a potential enforcement program, this is a critical time for all
stakeholders.
20.2 The Board has put in place measures that will facilitate full compliance with Nigerian Content
requirements. Operators, Partners, Service Companies and other stakeholders who choose not to adhere or
comply with the published Guidelines shall face different categories of sanctions, which include
prohibition from further participation in the Industrys activities until the identified defaults in their
operations are brought into compliance to the satisfaction of the Board.
20.3 The recent Public Notices issued by the NCDMB respectively on:
a.) Divestments of Farm-In Farm-Out Transactions in the Industry from 2010 till date, and
b.) Local Production Of Gas Cylinders, Maximizing In-Country Value Addition
make it clear that the Board shall keep up the momentum of ensuring maximum enforcement
of the provisions of the Act; in order to achieve the national objectives.
SOME ACHIEVEMENTS OF THE ACT
21.1 As at 2013, the NCDMB Report on Industry Performance indicated that the implementation of the
NOGICD Act had attracted a minimum of $5bn (Five Billion Dollars) worth of investments into the
country and created over 38,000 jobs. Also that the level of NC Compliance by the Industry was 60% as
at June 2014.
21.2 Added to this is the growing value of the Nigerian Content Development Fund NCDF
established under Section 104 of the Act, which is funded through the mandatory deduction from source
of the sum of 1% (one percent) of the sum of every contract awarded to all operators, contractors, sub-
contractors, alliance partners and every other entity involved in any project in the upstream Oil And Gas
Sector.
21.3 Section 104 (3) of the Act provides that the Fund shall be managed by the Board and employed for
projects, programmes and activities directed at increasing Nigerian Content in the Industry. The Fund will also
be employed as a tool to attract investor funds and venture capital which will be utilized for
capacity building projects; as well as used for guaranteeing lending to Nigerian service companies and
development of infrastructure and training.
REVIEWS AND/ OR AMENDMENTS

22.1 In line with its practice, NCDMB will continue to interact with all relevant stakeholders to ensure
continuous exchange of constructive ideas geared towards the achievement of its objectives. Following
the dynamics of the sector, the Board will amend or review these Guidelines, periodically, as the need
arises.
22.2 In reviewing its Guidelines, the Board shall be guided, among other considerations, by national
aspirations, trends and practices in the Industry.
22.3 Review activities shall be conducted to reflect:
a. Responsiveness to emerging trends and shifts in the industry that may have significant
implications on the achievement of objectives;
b. Responsiveness to changes in the Country. As the gains of these Guidelines are realized, further
changes may be made to increase the opportunities available to indigenous companies and
support further growth of the Industry;
c. Review of performance: It is imperative that insights from periodic reviews of the impact and
performance of these guidelines are captured; and
d. Government targets as encapsulated in the National Development Plans.
22.4 The above factors, amongst others, will be adopted as inputs to inform future revisions of the
Guidelines.
DEFINITIONS and INTERPRETATION
S/N ABBREVIATION/TERM INTERPRETATION

1. Act/NOGICD Act The Nigerian Oil & Gas Industry Content Development Act, 2010
2. ANB Authorized National Body
3. ADR Alternative Dispute Resolution
4. BMOA Binding Memorandum of Agreement
5. BOSIET Basic Offshore Safety Induction and Emergency Training
6. CAC Corporate Affairs Commission
7. CAC 02 Statement of Share Capital and Return of Allotment
8. CAC 07 Particulars of Persons who are first Directors of the Company
9. CDI Capacity Development Initiative; An activity directed/geared

towards:
Improving the in-country capacity to supply goods or
services specified in the Schedule to the NOGICD Act,
especially where in-country capacity gaps have been
established;
Assisting/increasing the NCDMBs capacity to improve
implementation of the provisions of the NOGICD Act;
and/or;
Improving the participation of Nigerians and/or Nigerian-
owned companies in the Industry.
10. CDI Implementation The lead entity responsible for executing the CDI and
Lead communicating the status of the CDI to all stakeholders
11. CBP Capacity Building Plan

12. COREN Council for the Regulation of Engineering in Nigeria
13. CSR Corporate Social Responsibility
14. DFPM Directorate/Director of Finance and Personnel Management
15. DLS Directorate/Director of Legal Services
16. DME Directorate/Director of Monitoring and Evaluation
17 DPR Department of Petroleum Resources
18. DPRS Directorate/ Director of Planning, Research & Statistics
19. EB Expatriate Biometric
20. EC Employment Commitment
21. ECMI Equipment Component Manufacturing Initiative

22. EPC Engineering, Procurement and Construction
23. EPCIC Engineering, Procurement, Construction, Installation and
Commissioning
24. EQ Expatriate Quota
25. ES Executive Secretary
26. ESA Engineering Service Agreement
27. FMI Federal Ministry of Interior/Internal Affairs
28. FPSO Floating, Production, Storage and Offloading
29. FT/EPZs Free Trade/Export Processing Zones
30. GC Governing Council
31. GMC Global Maintenance Contract
32. HCD Human Capital Development
33. HSE Health, Safety and Environment
34. ICT Information, Communications and Technology
35. Industry/NOGI/OGI Nigerian Oil and Gas Industry; all activities connected with the
exploration, development, exploitation, transportation and sale of
Nigerian oil and gas resources including upstream and downstream
oil and gas operations.
36. IOC International Oil Companies
37. ITT Invitation To Tender
38. JQS Joint Qualification System; Industry databank of available capacities
and capabilities in the Nigerian Oil and Gas Industry.
39. Licensee Bidders of Oil Blocks
40. MDA Ministries, Departments and Agencies
41. MOA Memorandum of Agreement
42. MOU Memorandum of Understanding
43. Minister/HMPR/MPR Minister of Petroleum Resources
44. NAICOM National Insurance Commission
45. NC Nigerian Content; the quantum of composite valued added to or
created in the Nigerian economy by a systematic development of
capacity and capabilities through the deliberate utilization of
Nigerian human, material resources and services in the Nigerian Oil
and Gas Industry.
46. NCCC Nigerian Content Compliance Certificate
47. NCCF Nigerian Content Consultative Forum

48. NCD Nigerian Content Division
49. NCDF Nigerian Content Development Fund
50. NCDMB/Board Nigerian Content Development and Monitoring Board
51. NCEC Nigerian Content Equipment Certificate
52. NCP Nigerian Content Plan
53. NDDC Nigerian Delta Development Commission
54. NDT Non-Destructive Test
55. Nigerian Company - A company formed and registered in Nigerian in accordance with
the provisions of the Companies and Allied Matters Act, 1990 (Cap.
C24, Law of the Federation of Nigeria, 2004) with not less than 51%
equity shares held by Nigerians
56. Nigerian Independent Oil Producing Companies, Refineries, and Petrochemical plants with
Operator minimum 51% equity shares owned by Nigerians.
57. NIMASA Nigerian Maritime Administration and Safety Agency
58. NIW Nigerian Institute of Welders
59. NNPC Nigerian National Petroleum Corporation
60. NOC National Oil Company
61. NOGIC JQS Nigerian Oil and Gas Industry Content Joint Qualification System
62. NRC NCDMB Review Committee
63. OEM Original Equipment Manufacturer (International/Multinational ICT
Companies)
64. OGTAN Oil and Gas Trainers Association of Nigeria
65. Oil and Gas E-Market A virtual platform for buyers and sellers of goods and services in the
Place oil and gas industry that allows for speedy and transparent
transactions
66. OJT On the Job Training
67. OML Oil Mining Lease
68. Operator The Nigerian National Petroleum Corporation (NNPC), its

subsidiaries and joint venture partners and any Nigerian, foreign or
international Oil and Gas Company operating in the Nigerian Oil
and Gas Industry under any petroleum arrangement
69. OPL Oil Prospecting Licence
70. OPTS Oil Producers Trade Section of the Lagos Chamber of Commerce
and Industry
71. PETAN Petroleum Technology Association of Nigeria
72. PROJECT An investment in the Oil and Gas activity chain (exploration,
development, and production operations), which when completed,
will deliver a real value. Generally, they tend to be standalone,
identifiable, and can span multi-years, in many cases.
73. PROPS Projects and Operations Division
74. PTDF Petroleum Technology Development Fund

75. PWHT Post-Work Heat Treatment
76. R&D Research and Development
77. RTA Recommendation to Award
78. Schedule Schedule to the Nigerian Oil & Gas Industry Content Development
Act, 2010
79. Service Company Contractors, Vendors, Filing Stations
80. SP Succession Plan
81. Stakeholders NCDMB, Operators, Contractors, Alliance Partners, other
Government Agencies
82. TWP Temporary Work Permit
83. VLCC Very Large Crude Carriers
4.2 CRUDE OIL LIFTING & OTHER PETROLEUM PRODUCTS

CONTRACTS
Pursuant to Section 3(1) of the Act
CONTENTS:
Introduction
Objectives
Applicability
Procedure
Enforcement and Consequences of Non-Compliance
1. INTRODUCTION
1.1 The NOGICD Act makes it mandatory by its Section 11 (1) for the minimum Nigerian Content
level stipulated in the Schedule to be achieved in every project in the Oil and Gas Industry.
1.2 The provision of the Schedule to the Act on Shipping sets a minimum of ninety percent (90%)
retention of spend on utilization of Very Large Crude Carriers VLCC in the Industry.
1.3 These Guidelines provide information and guidance on the administration of crude oil lifting, as
well as on contracts relating to the marketing and distribution of other petroleum products, and the
services subsumed therein, in line with t h e p r o v i s i o n s o f S ection 4 of the Act.
2. OBJECTIVES
2.1 The Objectives of these Guidelines are to achieve through its application:
a. Maximum utilization of vessels/tankers with Nigerian ownership;
b. Training and employment opportunities for Nigerians with relevant qualifications; and
c. Sole utilization of Nigerian financial, insurance and legal services in all transactions related to
t h e l i f t i n g o f Nigerian crude oil and the marketing and distribution of other
petroleum products.
2.2 The Guidelines a c c o r d i n g l y provide the procedure for t h e implementation of provisions of

the Act relating to t he a p p oi nt me nt of ma r k et er s of N i ge r ia n C r u de Oi l , a n d t h e
utilization of crude tankers/vessels f or the lifting of Nigerian crude oil an d dis tri but ion o f
ot h e r p e t r o l e u m pr o du ct s.
2.3 They also define the scope of application and operating framework for approving crude tankers.
3. APPLICABILITY
3.1 These Guidelines apply to all :

a. Producers;
b. Marketers of Nigerian equity crude;
c. Crude vessel o w n e r s ;
d. Crude tanker owners, carriers; and
e. Agents
4. SCOPE
4.1 These Guidelines cover the following projects/ contracts, namely:
4.1.1 Crude oil allocation;
4.1.2 Utilization of tankers a n d vessels;
4.1.3 Training a n d employment; and

4.1.4 Utilization of Nigerian services across the crude oil marketing value chain.
5. PROCEDURE FOR ENGAGING MARKETERS OF NIGERIAN EQUITY CRUDE
5.1 Section 2 of the Act provides that

All regulatory authorities, operators, contractors, subcontractors,
alliance partners and other entities involved in any project, operation,
activity or transaction in the Nigerian Oil and Gas Industry shall
consider Nigerian content as an important element of their overall
project development and management philosophy for project
execution.
5.2. Section 3 (1) also provides that Nigerian independent operators shall be given first
consideration in the award of oil blocks, oil lifting licences subject to the fulfillment of such
conditions that may be specified by the Minister.
5.3 Pending the specification by the Minister of those conditions that shall be fulfilled by the said
independent operators, the procedure for engaging marketers of Nigerian Equity Crude shall
be in accordance with these Guidelines.
5.4 Crude and Other Products Allocation
5.4.1 A minimum of fifty percent (50%) of Nigerian crude lifted, as well as fifty percent (50%)
of other petroleum products produced in the Nigerian Oil and Gas Industry sh a l l be
reserved solely for Nigerian- owned crude oil t r a d i n g a n d marketing companies within
the definition of the Act.
5.5 Training and attachment
5.5.1 All marketers interested in lifting Nigerian crude o i l shall submit a Nigerian Content
Plan demonstrating to the satisfaction of the Board, their proposals on provision of training
and attachment opportunities for Nigerians as part of the bid and/or application documents.
5.6 Utilization of Nigerian Professional Services
5.6.1 Legal Services:
a. In compliance with the provisions of Section 51 of the Act, all applicants for and/or companies
engaged to lift Nigerian equity crude shall retain only the services of a Nigerian Legal
Practitioner or firm of Nigerian legal practitioners located in Nigeria for its legal requirements;
b. The NCDMB Guidelines on Legal Services shall apply to this requirement.
5 . 6 . 2 Financial Services
a . In compliance with section 52 (1) of the Act, all applicants for and companies engaged in the
lifting o f c r u d e o i l , a s w e l l a s t h e d i s t r i b u t i o n a n d / o r m a r k e t i n g o f
o t h e r p e t r o l e u m p r o d u c t s i n N i g e r i a shall r e t a i n o n l y t h e s e r v i c e s o f
Nigerian Financial Institutions.
5.6.3 Ten Percent (10%) Retention.
a. In compliance with Section 52 (3) (f) all applicants for or companies engaged in the lifting
of crude oil, as well as the distribution and/or marketing of other petroleum products in
Nigeria shall demonstrate to the satisfaction of the Board, their compliance with the
provisions of the Act requiring the retention of a minimum of ten percent (10%) of the total
revenue accruing from their Nigerian operations in their Nigerian Bank account(s).
b. The documentation to be submitted by the applicant shall be endorsed by the Nigerian Bank
in which the said ten percent of the applicants total revenue is kept.
5.6.4 Insurance Services
a. In compliance with section 49 of t h e A ct, all a p p l i c a n t s f o r o r c o m p a n i e s

e n g a g e d in the lifting o f c r u d e o i l , a s w e l l a s t h e d i s t r i b u t i o n a n d / o r
m a r k e t i n g o f o t h e r p e t r o l e u m p r o d u c t s i n N i g e r i a shall insure all
insurable risks related to the transaction with an insurance company through an insurance
broker registered in Nigeria under the provisions of the Insurance Act.
b. All a p p l i c a n t s f o r o r c o m p a n i e s e n g a g e d in the lifting o f c r u d e o i l ,

or in the distribution and/or marketing of other petroleum
p r o d u c t s shall demonstrate to the satisfaction of the Board, their compliance with the
provisions of Section 50 of the Act on full utilization of local insurance capacity.
6 Charter of Crude Tankers
6.1 Utilization of tankers with Nigerian equity ownership shall be a mandatory requirement for all
bidders interested in lifting Nigerian equity crude.
7 ENFORCEMENT and CONSEQUENCES OF NON-COMPLIANCE
7.1 The failure, delay and/or refusal on the part of any operator, project promoter, contractor or other
stakeholder in the Industry to comply with and adhere to these Guidelines shall attract sanction in
accordance with the implementation and enforcement process established by the Board and
published in this Handbook.
7.2 In particular, any Producer, Marketer of Nigerian crude, Crude vessel owner, Crude tanker owner,
carrier and/or Agent or other stakeholder in the Industry who refuses to comply with the
procedure and/prescriptions specified herein shall be deemed to be in default of the provisions of
these Guidelines.
7.3 The Board shall first duly notify the person or company concerned of the identified default(s); and
shall specify the step, action and/or remediation required to correct the non-compliance. The
necessary timeframe within which compliance must be achieved to the satisfaction of the Board
shall also be specified.
7.4 Where the Producer, Marketer, Crude vessel owner, Crude tanker owner, carrier and/or Agent or
other Stakeholder fails to meet the directions given, the Board shall in its discretion, apply the
sanction deemed applicable in the circumstances in order to enforce compliance with the Act.
4.3 EQUIPMENT COMPONENT MANUFACTURING INITIATIVE

(ECMI) & CERTIFICATION PROCESS
Pursuant to Sections 10 (a), 41(1)(e), 41(2) of the Act
CONTENTS:
Introduction
The Equipment Component Manufacturing Initiative (ECMI)
Objectives
Applicability
The Nigerian Content Equipment Certificate( NCEC)
Equipment Certification
Procedure/Conditions for obtaining the NCEC
Features of the NCEC
Validity Period of the NCEC
Compliance Monitoring of Investment Commitments
Renewal of NCEC
ECMI Intervention by Operating Companies
NCEC Implementation
Enforcement and Consequences of Non Compliance
1. INTRODUCTION
1.1 The Nigerian Oil and Gas Industry Content Development (NOGICD) Act, 2010 provides in
Section 10 (1) (a) that first consideration shall be given to services provided from within
Nigeria and to goods manufactured in Nigeria; and in Section 41(1) (e) that regulations shall be
made setting out targets to ensure full utilization and steady growth of indigenous companies
engaged in exploration, manufacturing and fabrication of equipment, and other facilities as
well as the provisions of other support services for the Nigerian Oil and Gas Industry.
1.2 Section 41(2) of the Act provides that International or multinational companies working
through their Nigerian subsidiaries shall demonstrate that a minimum of 50% of the equipment
deployed for execution of work are owned by the Nigerian subsidiaries.
1.3 These provisions of the Act mandate the Board to directly:
a) develop capacity for local supply;
b) develop procedures; and
c) put in place enablers that will stimulate investment and assure utilization of locally
made goods by the Industry.
1.4 The Schedule to the Act has set minimum Nigerian Content targets for services requiring the use
of equipment or procurement of equipment in the Industry.
2. The Equipment Component Manufacturing Initiative (ECMI)
2.1 The Board conceived the Equipment Component Manufacturing Initiative (ECMI) in 2011, to
address capacity gaps in supply of equipment to the Industry from local manufacturers.
2.2 The initiative has been further expanded to stimulate ownership of movable assets (excluding rigs
and marine vessels) by Nigerian entities.
2.3 The initiative was designed to:
a. Maximize retention of industry spend on procurement of equipment by promoting establishment

of facilities for manufacturing equipment components, spare parts & accessories;
b. Create enablers that will encourage Original Equipment Manufacturers, (OEMs) to establish
facilities in Nigeria in partnership with their Nigerian representatives, for the manufacturing and
assembling, testing, blasting and/or painting of equipment, components, spare parts or
accessories;
c. Stimulate equipment ownership by Nigerian entities and enforce utilization of equipment

having fifty percent (50%) Nigerian ownership by the local subsidiary of an international or
multinational company in accordance with Section 41(2) of the Act;
d. Assure sustainability of equipment manufacturing in Nigeria by introducing the Nigerian

Content Equipment Certificate (NCEC) requirement in tenders involving supply or deployment
of equipment in the Industry;
e. Establish the mechanism for monitoring new investments related to domiciling

manufacturing of equipment in Nigeria
3. OBJECTIVES
3.1 The objectives of these Guidelines are to :
a. explain and define the Equipment Component Manufacturing Initiative (ECMI) of the
NCDMB;
b. prescribe the technical requirements and procedures for issuing the Nigerian Content
Equipment Certificate (NCEC) to vendors supplying equipment or deploying movable
equipment in the Industry; and
c. emphasize the significance of the NCEC in tenders related to supply of equipment or

deployment of equipment for services in the Industry.
4. APPLICABILITY
4.1 These Guidelines shall apply to all Operators, Contractors, Alliance Partners, Original Equipment
Operators, OEMS, Small and Medium Scale Enterprises and other Stakeholders.
5. NIGERIAN CONTENT EQUIPMENT CERTIFICATE (NCEC)
5.1 A key component of the ECMI is a certification requirement which makes it mandatory for all
vendors supplying equipment to the Industry to obtain a Nigerian Content Equipment Certificate
(NCEC) from the Board.
5.2 The NCEC is a Nigerian Content requirement, sine qua non, for participation in tenders involving
supply of equipment or deployment of equipment for oil and gas services.
6 EQUIPMENT CLASSIFICATION
6.1 The scope of NCEC covers all equipment, systems and packages contained in the Schedule to the
Act and typical EPC packages.
6.2 The equipment type is classified into two broad categories namely Class A and Class B.
6.2.1 Class A: Equipment supplied for use - Equipment, systems or packages supplied directly to the
Industry and/or used to form part of a facility or plant to be installed and /or used in the Industry.
6.2.2 Class A equipment is further classified into two sub-classes.
6.2.3 Class B: Equipment deployed for oil and gas services - these are movable assets deployed for
critical operations in the Industry.
Sub- List of equipment (or components of

Class Description
class these equipment)
A 1 Equipment or component procured or 1 Turbines, compressors, pumps and other
supplied for use in the Oil and Gas rotating equipment
Industry with high value in terms of spend 2 Electrical and instrumentation equipment-
and volume switch gears, panels, cables, metering
systems etc
Value is in manufacturing equipment 3 Static equipment - line pipes, heat
component, spare parts or accessories; exchangers, process equipment, flanges,
equipment assembly, testing, blasting valves and actuators etc
and/or painting of the equipment. 4 Subsea Equipment- wellheads, Christmas
trees, subsea production systems, subsea
control systems, umbilical, riser systems etc
2 Huge Equipment, package or system 1 Gas processing systems

installed in the Oil and Gas Industry with 2 Telecommunication systems
high value in terms of spend and 3 Substation and transformers
technology development 4 Generators and motors
5 Mills
Value is in manufacturing equipment 6 Boiler Works
components, spare parts & accessories. 7 Drilling units- separators
Also maintenance, testing & certification
and technology know how
B Equipment used to provide a service or 1 Construction equipment - Heavy lift

deliver critical offshore and onshore equipment, heavy duty trucks/loaders,
operations in the Oil and Gas Industry. pulverizers, crushers, Cranes, Forklifts,
dredging equipment et cetera.
Value is in ownership of the equipment by 2 Drilling tools and Equipment - cementing
Nigerians. Also maintenance facilities and unit, e-line trucks, logging equipment,
personnel operating the equipment burner boom, drill bits, drilling pipe,
drilling motors, derricks, well monitoring
instruments, tubing, blowout preventers,
wire line systems, et cetera
3 Well completion tools and equipment
4 Marine equipment ROVs, Diving
Equipment et cetera.
7 PROCEDURE And CONDITIONS FOR OBTAINING THE NCEC
7.1 Companies seeking NCEC shall first and foremost be registered and have an active account on
the NOGIC JQS platform on https://portal.nogicjqs.com .
7.2 NCDMB shall organize a minimum of two (2) Small and Medium Scale Enterprise (SME) Fairs
per annum during which Original Equipment Manufacturers (OEMs) will have the opportunity to
identify and enter into agreements with SMEs of their choice for the purpose of venturing into
equipment component manufacturing with the SME.
7.3 OEMs applying for NCEC must show evidence of their participation in a SME fair (either
organized by the OEM or the NCDMB, or through other channels leading to the OEM identifying
the SME with whom the OEM will venture into the manufacture of the equipment or component
for which they seek an NCEC, as a precondition for obtaining NCEC from the Board.
7.4 Application for the NCEC shall include:
a. A formal application letter addressed to the Executive Secretary, Nigerian Content

Development and Monitoring Board,
b. A completed template for the category of the NCEC being sought. This can be obtained from
NCDMB website;
c. Relevant documents to support information provided in the template;
d. Evidence that an applicant OEM has attended and participated in one of the SME Fairs
organized by the NCDMB or that the applicant OEM has organized a SME Fair and has
executed an agreement with a SME of its choice for the purpose of using the SME to
manufacture the equipment or component thereof for which the NCEC is being sought.
7.5 NCEC PROCESSING TIME

a. The Board shall make a decision on NCEC applications submitted to it within thirty (30)
working days of the receipt of the application.
b. Where the Board is unable to conclude on an application within 30 working days, the applicant
shall be advised, via email, of the reasons for the delay and given a definite time within which
a decision on the application shall be given.
c. The extended period shall not be more than 15 days after the expiration of the initial 30-day
period.
d. If an applicant for a NCEC is required to present the Certificate during the pendency of
processing its application, evidence of submission of its application to the Board shall be
sufficient to meet the tender documentation.
e. However after the 45 days processing period, the applicant shall present the Certificate to the
Operator.
f. Designated officers of the Board shall communicate to the applicant once the NCEC is
approved and ready for collection. The communication will be in the form of an email only.
8 FEATURES OF THE NCEC
8.1 A Nigerian Content Equipment Certificate (NCEC) consists of three (3) schedules:
a. Schedule 1 is the sign off page detailing the equipment being certified by the Board and
signature of beneficiary indicating commitment to establish manufacturing capabilities ; and
authorized signatures of NCDMB staff;
b. Schedule 2 contains general information about the applicant and the applicants footprints in
the oil and gas sector;
c. Schedule 3 describes the committed investment activities and timelines.
8.2 Each certificate comes with a unique identification number. This unique number can be used
to validate the authenticity of the certificate via the service company (equipment) module in
NOGIC JQS portal (http://portal.nogicjqs.com).
8.3 Any vendor who presents a Certificate that cannot be authenticated by the Board shall be
disqualified in the tender and blacklisted from participation in future tenders.
9 VALIDITY PERIOD OF NCEC
9.1 A Category A Certificate will be valid for two (2) years i.e. (24 months) from the date of
issue;
9.2 Category B and C certificates issued by the Board will be valid for one (1) year i.e. (12
months) from the date of issue.
10 COMPLIANCE MONITORING OF INVESTMENT COMMITMENTS
10.1 From the date an NCEC is issued, the Board shall undertake inspection visits to assess the
level of compliance with the milestones contained in the investment commitments made by
the NCEC holder.
10.2 Such visits shall normally be twice in the life of a certificate.
10.3 A report shall be generated after every visit to highlight the level of performance/compliance
and to advise the NCEC holder of the compliance and/or remedial steps that shall be
undertaken by the holder of the Certificate to the satisfaction of the Board, failing which
appropriate sanction shall be applied to ensure compliance accordingly.
10.4 Renewal of a Certificate shall depend on satisfactory performance feedback from the
monitoring visits.
11 RENEWAL OF NCEC
11.1 A NCEC is eligible for renewal at the expiration of the validity period, upon meeting the
following requirements:
a. Achievement of due milestone(s) for the period upon which NCEC was issued
b. Consistency in the investment commitment and timeline
c. Category B NCEC holders may apply for upgrade to category A if the facility has been
commissioned to commence manufacturing activities as at the time of applying for a renewal
11.2 Application for NCEC renewal shall be declined by the Board where the holder of the NCEC fails to
deliver satisfactorily on the due milestone commitments for the period upon which the NCEC was
issued; and the holder shall not be deemed to have a valid NCEC after the expiration of the current
certificate.
12. ECMI INTERVENTION BY OPERATING COMPANIES

12.1 Operators/Vendors intending to promote the establishment of manufacturing facilities in
Nigeria will be required to take the following steps:
a. Submit their ECMI framework to the Board for input;
b. Obtain approval from the Board to implement the initiative; and
c. OEM receiving the NCEC is subject to the same requirements as other vendors in the
area of utilization of NCEC in tenders, inspection visits and NCEC renewal requirements
12.2 A detailed description of the types of Certificates issued by the Board, requirements for
obtaining the Certificate and the application of the Certificate in the tendering process are
provided in the table below:
NCEC
NCEC APPLICATION
CATEGORIZAT DESCRIPTION SUB-CLASS TENDER GUIDELINE
REQUIREMENT
ION LEGEND
Category A Certificate Classification for Companies seeking NCEC should All Nigerian or multinational
NCDMB companies that already have first and foremost be registered and vendors with category A NCEC
existing and functioning have an active account on the shall be given first and
equipment components NOGIC JQS platform- exclusive consideration in
manufacturing or equipment https://portal.nogicjqs.com tenders and shall be qualified to
assembling and testing facility The Applicant party shall submit to participate in technical bids in
in Nigeria the Board along with NCEC all tenders related to the
application, the following details: equipment for which NCEC
a. Name of Original Equipment was obtained.
Manufacturer;
b. Country of Origin of OEM; Where there are more than one
c. Other countries where the OEM (1) vendors with category A
has manufacturing facilities; certificate that qualify in a
d. List and Value of equipment to technical evaluation, only these
Nigerian Oil and Gas Industry in vendors will be qualified to
the past 10 years, where progress to commercial stage.
applicable; This is to ensure commercial
e. Name of Manufacturers evaluation is based on pricing
representative in Nigeria with from local vendors
evidence of appointment as
OEM representative (where All vendors intending to
applicable); supply class A1 equipment
f. Details of OEM or OEM must have category A NCEC
representatives office in
Nigeria;
g. Location for manufacturing
activities in Nigeria (provide
Title/ Lease agreement for
manufacturing/ assembly site
and other documents);
h. Current manufacturing activities
(provide certifications, licenses
for manufacturing/ assembly
process or products), HSE
policy;
i. Typical usage of the equipment
in the Oil and Gas sector
NCEC
NCEC APPLICATION
REQUIREMENT
ION LEGEND
j. Detailed investment/growth plan
with timelines and investment
cost
k. Percentage local content value
i.e. local value-add over total
cost of equipment (expressed as
a percentage)
l. Registration with NOGIC
JQS(http://portal.nogicjqs.com)
m. Total workforce (Nigerian vs
foreign) and evidence of
Expatriate Quota approvals
(where applicable)
n. Installation and maintenance/
after-sales service plan
o. Any other information that will
demonstrate domiciliation of
activities
10
NCEC
NCEC APPLICATION
REQUIREMENT
ION LEGEND
Category B This class of equipment The Applicant party shall submit to B1 All vendors with category B1
NCDMB certificate is issued to vendors the Board along with NCEC Vendors that have submitted a NCEC are qualified to
that are just venturing into application, the following details: credible plan to start participate in technical bids
manufacturing activities and a. Name of Original Equipment manufacturing; and have related to class A1 and A2
have presented a credible Manufacturer (OEM) indicated in their plan that they equipment.
investment plan, to set up b. Country of Origin of OEM. have imported all the
facilities for assembling or c. Other countries where the OEM equipments required for in- Where vendors with Category
manufacturing in Nigeria. has manufacturing facilities. country manufacturing A and Category B1 NCECs are
The scope of manufacturing d. List and Value of equipment activities. in a tender the following rule
includes equipment supplied to Nigerian oil and gas Timeline for facility shall apply:
components, spare parts, industry in the past 10 years. commissioning is not more Where a vendor for class A1
accessories and assembly of e. Name of Manufacturers than Eighteen (18) months equipment was issued category
equipments. representative in Nigeria with from the date of applying for B1 NCEC the vendor shall only
evidence of appointment as NCEC be qualified at the technical
All OEMs being promoted by OEM representative evaluation stage where there is
multinationals and IOCs under f. Details of OEM representatives only one (1) vendor with
the ECMI will be issued office in Nigeria. category A NCEC or where it
Category B NCEC g. Proposed location for is estimated that the workload
manufacturing activities in is in excess of the combined
Nigeria (provide Title/ Lease capacities of vendors with
All vendors supplying any of agreement for site and other category A NCEC
the class A2 equipment must documents)
have category B1 or B2 h. Planned manufacturing IOC to obtain approval of the
NCEC. activities Board before entering into any
i. Details of equipment/component formal agreement with a
specification to be manufactured vendor having category B1
and its typical usage in the oil certificate
and gas industry
j. Detailed investment plan with B2 All vendors with B2 NCEC are
timelines and investment cost Vendors who have submitted a to be qualified at technical bid
k. Projected percentage local plan indicating that they shall stage when the full capacity of
content value i.e. local value-add commence in-country vendors with category A and
over total cost of equipment manufacturing within a time B1 NCECs are exhausted Or in
(expressed as a percentage) frame of not more than 4 the event that no vendor with
l. Registration with NOGIC years from the date of category A or B1 NCEC
JQS(http://portal.nogicjqs.com) applying for NCEC. submits bids for the tender
m. Total workforce (Nigerian vs. All vendors that present related to the procurement of
11
NCEC
NCEC APPLICATION
REQUIREMENT
ION LEGEND
foreign) and evidence of investment plans beyond 4 the equipment for which NCEC
Expatriate Quota approvals years shall not be issued with was obtained.
(where applicable) NCEC
n. For OEMs being promoted by
multinationals and IOCs state
roles and responsibilities of both
parties
demonstrate investment
commitment.
Category C This class of equipment The Applicant shall submit the C1 All vendors with category C1
NCDMB certificate is issued to vendors following details, in addition to the This certificate is issued to NCEC are eligible to
deploying equipments for NCEC application to the Board vendors that demonstrate over participate in technical bids
operations such as drilling a. Name of Equipment owner 50% ownership of the related to the equipment for
(tools, rigs) dredging, b. Location of equipment owner in equipment for which NCEC is which NCEC was obtained.
construction, survey, catering Nigeria being sought. OR
etc The vendors with C1 NCEC
c. List of equipment and
Vendors that have established shall also be qualified to move
Category C NCEC will be ownership profile of each facilities in Nigeria for either to commercial stage of the
issued to proprietary equipment owned a. Assembling proprietary tendering process, provided
equipment owners who have d. In the case of equipment co- equipment other Nigerian content
demonstrated that 50% of the owned between an international b. Manufacturing requirements are met.
equipment ownership is components, spare parts
service company and a local
domiciled in the Nigerian or accessories of
subsidiary of the international service company, provide MOA
proprietary equipment
company (evidence to be indicating equipment ownership
c. Servicing, maintenance
shown from the bill of lading profile and testing
indicating that the consignee is e. List of equipment leased (where
an entity registered in Nigeria) applicable)
f. Location of the equipment
Category C certificate will
also be issued to companies owned in Nigeria
that invest in the establishment g. Value of contracts carried out in
of a facility in Nigeria for: Nigeria in the past 10 years.
a. Assembling proprietary h. Name of alliance partners (if
equipment any)
12
NCEC
NCEC APPLICATION
REQUIREMENT
ION LEGEND
b. Manufacturing i. Location of service/maintenance
components, spare parts workshop in Nigeria (provide
or accessories of Title/ Lease agreement for
manufacturing/ assembly site
c. Servicing, maintenance
and testing and other documents)
j. Location of facility (current or
OR proposed) for equipment
assembly, manufacturing of
Have submitted a credible spare parts/ accessories/
plan to set up any of the components
facilities in a-c above within a
k. Typical usage of the equipment
period of not less than
in the oil and gas industry
Eighteen (18) months
l. Percentage local content value
i.e. revenue retained in-country
over revenue earned from
deployment of equipment
[consolidated] (expressed as a
percentage)
m. Registration with NOGIC
JQS(http://portal.nogicjqs.com)
n. Total workforce (Nigerian vs
foreign) and evidence of
Expatriate Quota approvals by
NCDMB (where applicable)
demonstrate investment in
equipment ownership
C2 All vendors with category C2
This category of NCEC is NCEC are eligible to
issued to foreign entities that participate in technical bids
have a lease-to-own related to the equipment for
operating MOA with an which NCEC was obtained.
indigenous company which
will lead to selling of at least Vendors with C2 NCEC shall
13
NCEC
NCEC APPLICATION
REQUIREMENT
ION LEGEND
50% of the equipment to the also be qualified to move to
indigenous company within a commercial stage of the
time frame of not more than 2 tendering process, provided
years from the date of other Nigerian content
applying for NCEC. OR requirements are met.
Vendors that have submitted a During commercial evaluation,

credible plan to set up any of where a vendor with C1 NCEC
the following facilities within is in competition with a vendor
a period of not less than with C2 NCEC for the
Eighteen (18) months deployment of the same
a. Assembling proprietary equipment, the vendor with C1
equipment NCEC having demonstrated
b. Manufacturing 50% ownership of the
components, spare parts equipment to be deployed shall
or accessories of be given first consideration
c. Servicing, maintenance During commercial evaluation
and testing where a vendor with C1 NCEC
is in competition with a vendor
with C2 NCEC for the
deployment of the same
equipment, the vendor with C1
NCEC shall not be disqualified
on the basis of having a higher
cost factor, provided the
Nigerian content score of the
vendor with C1 NCEC is
higher than the Nigerian
Content score of the vendor
with C2 NCEC during
technical evaluation
Where there are no category C1

vendors in a bid, vendors with
category C2 NCEC shall be
allowed to compete amongst
14
NCEC
NCEC APPLICATION
REQUIREMENT
ION LEGEND
themselves and qualification
shall be on the basis of highest
Nigerian content score
Where the service requires

mobilization of equipment
beyond the capacity of any of
the vendors with Category C1
NCEC, vendors with C2 NCEC
shall be allowed to form
alliances with C1 NCEC
holders for the purpose of
providing the remaining
equipment required to meet the
needs of the operations
Vendors with Category C2

NCEC may also be considered
if during technical evaluation it
is established that the Board
has not issued C1 NCEC to any
vendor for the equipment
required
15
13. ENFORCEMENT AND CONSEQUENCES OF NON-COMPLIANCE
13.2 In particular, any operator or stakeholder who neglects, fails or refuses to comply with the steps and
procedures specified in these Guidelines shall be deemed to be in default of its provisions.
13.3 The Board shall first duly notify the operator or other stakeholder concerned of any identified
default(s); and specify the step, action and/or remediation required to correct the non-compliance;
indicating the necessary timeframes within which compliance must be achieved to the satisfaction of
the Board.
13.4 Thereafter, the Board shall in its discretion, apply the sanction deemed applicable in the
circumstances in order to enforce compliance with the Act.
16
Template 4.3.1
Nigerian Content Equipment Certification (NCEC) Template (Pursuant to the Guidelines on
Equipment Component Manufacturing Initiatives (ECMI))
Category A (Established facility for the manufacturing/assembling/fabrication etc. of

equipment/components)
S/N REQUIREMENTS REMARKS

1 State equipment for which application is being made
2 Typical usage of the equipment in the industry
3 Name of original equipment manufacturer (OEM)
4 Country of origin of OEM
5 Other Countries where the OEM has
manufacturing/assembling facilities
6 List equipment/components supplied to the industry in
the past 10years
7 Cost of equipment/component/parts supplied to
Nigeria in the past 10 years
8 State facility in-country for the
manufacturing/assembling/fabrication/painting etc. of
equipment/components
9 State current manufacturing/assembling/fabrication
activities (provide certifications, licenses for
manufacturing/assembly process or products), HSE
policy.
10 Details/specification of equipment/component
manufactured/assembled/fabricated in facility
11 Location for manufacturing/assembling/fabrication
facility (Provide title/lease agreement for
manufacturing/assembling/fabrication site, photo,
layout and other supporting documents)
12 Name of OEM representative in Nigeria
13 Evidence of appointment as OEM representative in Please attach supporting document(s)
Nigeria with responsibilities
14 Details of any further investment growth plan with
timelines and proposed investment cost
15 Percentage local content value i.e. local value-added
over total total cost of equipment (see instruction
below)
16 Total workforce (Nigerian vs foreign) and evidence of
expatriate quota approvals (where applicable)
17 Any other information that will demonstrate
domiciliation of activities
Note: Companies seeking the NCEC should first and foremost be registered and have an active
account on the NOGIC JQS platform https://portal.nogicjqs.com
In calculating the Nigerian content value (item 15), divide the total in-country spend by the sum
of the total in-country and total foreign spends. The in-country/local expenses includes but not
limited to the import duty/port handling cost, logistics and cost of
manufacture/assembly/fabrication/coating/painting etc.
Template 4.3.2
Category B (Ongoing establishment of facility for equipment/components supplied to the

industry)

1 State equipment for which application is being made
2 Typical usage of the equipment in the industry
3 Name of original equipment manufacturer (OEM)
4 Country of origin of OEM
5 Other Countries where the OEM has
manufacturing/assembling facilities
6 List equipment/components supplied to the industry in the
past 10years
7 Cost of equipment/component/parts supplied to Nigeria in
the past 10 years
8 Details and evidence of location for
manufacturing/assembling activities in Nigeria (provide
title/lease agreement for site, photo, layout and other
documents)
9 Details of activities already done, equipment procured or
installed for establishment of the facility with cost
implication (broken down to quarterly milestones and road
map)
10 Details of outstanding activities for establishment of the
facility with cost implication (broken down to quarterly
milestones and road map)
11 Details of equipment/component specification to be
manufactured/assembled and business plan with respect to
equipment/components
(assembly/manufacturing/threading/coating/fabrication
etc.)
12 Detailed investment plan with timelines and investment
cost broken down to quarterly milestones (for starters)
13 For OEMs being promoted by IOCs, state roles and
responsibilities of both parties
14 Name of manufacturers representative in Nigeria
15 Evidence of appointment as representative with Please attach supporting document(s)
responsibilities
16 Percentage local content value i.e. local value-added over
total cost (see instruction below)
17 Total workforce (Nigerian vs foreign) and evidence of
expatriate quota approvals (where applicable)
18 Any other information that will demonstrate domiciliation
of activities
In calculating the Nigerian content value (item 16), divide the total in-country spend by the sum
of the total in-country and total foreign spends). The in-country/local expenses includes but not
limited to the import duty/port handling cost, logistics and cost of
manufacture/assembly/fabrication/coating/painting etc.
Template 4.3.3
Categories C& D (Equipment Deployed for providing Service)

1 State equipment for which application is being
made
2 Name, Detail and Location of equipment owner or
equipment lessor
3 State ownership status of equipment with evidence.
If equipment is co-owned between an intl service
company and an indigenous service company or
subsidiary (provide evidence of co-ownership on
receipts, MoAs, C02/C07, etc.)
4 If equipment is leased, provide lease agreements,
details of equipment lessor including evidence of
ownership, owning companys shareholding etc.
(receipts, C02/C07, bill of laden etc.)
5 Cost of equipment leased or owned
6 Location in Nigeria where equipment is stationed
7 Typical usage of equipment in the oil & gas
industry
8 Name of alliance partners (if any)
9 Nigerian Banks used for receivables
10 State Insurance company providing cover
11 Nigerian law firm providing legal services
12 List equipment/components supplied to the
industry in the past 10years
13 Location of facility (current or proposed) for
equipment assembly, manufacturing of spare
parts/accessories/components
14 Percentage local content value i.e. revenue retained
in-country over revenue earned from deployment
of equipment (consolidated) (expressed as a
percentage)
15 Registration with NOGIC JQS
https://portal.nogicjqs.com)
16 Total workforce (Nigerian vs foreign) and
evidence of expatriate quota approvals (where
applicable)
17 Details of service/maintenance workshop in
Nigeria (provide title/lease agreement for
workshop, layout, photos and other documents)
18 Cost of equipment/component/parts supplied to
Nigeria in the past 10 years
19 Installation & maintenance after-sales service plan

20 Any other information that will demonstrate
investment in equipment ownership
4.4 EXPATRIATE QUOTAS

Pursuant to Sections 31 35 of the Act
CONTENTS
INTRODUCTION
OBJECTIVES
APPLICABILITY
APPLICATION PROCEDURE
CONSIDERATION OF APPLICATIONS BY NCDMB
BIOMETRIC DATA CAPTURE
REGISTRATION ON NOGIC JQS
EMPLOYMENT COMMITMENT
SUCCESSION PLAN
ANNUAL MANDATORY SUBMISSIONS TO NOGIC JQS
COMPLIANCE REQUIREMENTS & MONITORING.
ENFORCEMENT and CONSEQUENCES OF NON-COMPLIANCE

1. INTRODUCTION
1.1 In order to protect and take care of investors interests, the NOGICD Act allows Operators as
well as Project Promoters to retain a maximum of five percent (5%) of their Management as
expatriate positions. (Section 32)
1.2 Section 31 (1) of the Act requires operators to submit a Succession Plan to the NCDMB of ALL
positions not held by Nigerians and which are not currently on the list of the said approved five
percent (5%) Management positions allowed for investors interests.
1.3 The Succession Plan shall provide for Nigerians to understudy each incumbent expatriate for a
maximum period of four (4) years. At the end of the four (4) year period, the position shall
become Nigerianized except on projects with shorter than two (2) years life span for which
special consideration would be made by the NCDMB for a certificate of no objection based on
the Human Capacity Development Plan (HCDP) submitted by applicants for the affected
positions.
1.4 Pursuant to the provisions of Sections 31- 33 of the Act, the NCDMB is vested with powers for
the administration and management of applications for Expatriate Quota, Succession Plan and
deployment of Expatriates in the Industry.
1.5 Section 33 makes it mandatory for all applications for expatriate quota approvals, including the
five percent (5%) Management positions to be submitted to the NCDMB for approval before any
application is submitted for expatriate quota to the Federal Ministry of Interior/Internal Affairs
(FMI) or any other agency or Ministry of the Federal Government. This includes applications for
Temporary Work Permits, TWP.
2. OBJECTIVES
2.1 In view of the fact that only positions that cannot be held by Nigerians are to be occupied by
expatriates, the objectives of these Guidelines are to:
a. establish a procedure for the administration and issuance of approval for Expatriate Quota;
succession and deployment of all expatriate staff ; including the five percent (5%) expatriate
Management positions; and
b. make provision for compulsory Biometric Data Capture by the NCDMB of all expatriate staff
in the Oil and Gas Industry.
3. APPLICABILITY
3.1 These Guidelines are intended to facilitate compliance with Sections 31-33 of the Act
dealing and/or connected with issues of Expatriate Quota, deployment of Expatriates and
Succession Planning.
3.2 They are applicable to all Operators (National Oil Company, International Oil Companies
and indigenous operators), Service Companies, Project promoters and all entities providing
services and carrying on business in the Industry
4. APPLICATION PROCEDURE :
4.1 Five percent (5%) Management Positions Allowed For Investors Interests
a. Any application for the position of the Management position shall be submitted to the
Board for approval.
b. These five percent (5%) positions shall be effective from the time the FMI gives
approval.
c. On an annual basis, the NCDMB will monitor the deployment and utilization of the
expatriate staff.
4.2 New Expatriate Quota
a. The Applicant shall provide documentary evidence to show that the position(s) covered
under its application have been advertised in at least two major Nigerian newspapers, and
in the NOGIC JQS established under Section 55 of the Act. The Applicant shall also
ensure that the position(s) had been advertised internally in the company and that no
Nigerian had been found qualified for the position(s) within the institution as well as
within or outside Nigeria.
b. The draft of external advertisements for such positions under application shall be
submitted to NCDMB for review and certification prior to publication. The Applicant
shall notify NCDMB of receipt of applications, planned interview dates and results of
interview for each vacancy advertised.
c. The Applicant shall provide the following, namely :
i. the information specified in Form NCDMB EQ/A, in hard (paper) and electronic
(Excel) formats;
ii. Proof that no Nigerian indigene is qualified to occupy the position(s) advertised;
iii. the information as specified in Form NCDMB EQ/C on ALL existing expatriates in
the company on paper and electronic (Excel) formats;
iv. the information as specified in Form NCDMB EQ/D on ALL Nigerian indigenous
employees in the company on paper and electronic (Excel) formats; and
v. The electronic copies of required Forms in (i), (iii) & (iv) shall be uploaded into the
NOGICJQS through the Portal Account Profile of the Applicant Company at
portal.nogicjqs.com and electronic copies forwarded to the Board appropriately.
4.3 Renewal of Existing Expatriate Quota
a. An Applicant seeking extension or renewal of existing Expatriate Quotas shall

provide the following, namely:
i. The information specified in Form NCDMB EQ/B, on paper and electronic

(Excel) formats in its application to the NCDMB;
ii. The information as specified in Form NCDMB EQ/C on ALL existing
expatriates in the company on paper and electronic (Excel) formats;
iii. The information as specified in Form NCDMB EQ/D on ALL Nigerian
indigenous employees in the company or other entity on paper and
electronic (Excel) formats; and
iv. Documentary proof of Succession Plans and understudy of relevant
expatriate(s) by Nigerian indigenes in progress since its last application as
well as documentary confirmation that competent Nigerian indigenes are not
available either internally within the company or externally (within or
outside Nigeria) to occupy the required position(s) or state any other
applicable reasons.
b. The electronic copies of required Forms in (i), (ii) & (iii) shall be uploaded into the
portal.nogicjqs.com and paper copies forwarded to the Board appropriately.
4.4 Information to be provided in Application with Supporting Documents
a. All applications for EQs shall be accompanied with the following:
i. Succession Plan: Program/strategy for the reduction of expatriates and

specific target dates to convert the expatriate positions to Nigerian positions
within four years
ii. Organizational Chart of the Applicant Company
iii. Advert Report (for new applications)
iv. Job Descriptions/Qualifications for the required positions
v. Training schedule for understudies and other Nigerian staff
vi. Employment Commitment
vii. Past FMI approval letters for the required positions
viii. Proof of expatriate registration with professional bodies in Nigeria
ix. Cross Posting/Exchange Program: This should include the positions, names
and contact details of the Nigerian and Expatriate staff involved.
x. Experiences gained by both the Nigerian and expatriate staff should be
submitted to the Board.
5. CONSIDERATION OF APPLICATIONS BY NCDMB
5.1 Upon receipt of the application and the submissions, the NCDMB may hold a joint evaluation of
the application with the Applicant in order to ascertain that the application is in line with the
provisions of the Act.
5.2 The NCDMB shall make a determination on expatriate quota applications submitted to it within
30 days of the receipt of the application provided that all information and documents as required
by the NCDMB are duly submitted by the Applicant. However, if the NCDMB is unable to
determine on an application within the time stipulated, it shall inform the applicant, communicate
the reasons for the delay and give a definite time within which a determination shall be made. The
extended period shall not be more than fifteen (15) days after the expiration of the initial 30-day
period
5.3 Where considered necessary, the NCDMB shall invite the Applicant Company for a meeting to
defend its application. For service companies, the NCDMB may also request a tripartite meeting
with the service company and the project promoter of the project for which the expatriate
application is/are being made
5.4 Thereafter, the NCDMB shall make a determination on the application prior to the Applicant
Company submitting its application to the FMI.
5.5 Applicant to communicate FMI Approvals:
a. Within one month of receiving the grant of Expatriate Quota from the FMI, the Applicant
shall communicate to the NCDMB the list of the approved positions on paper and electronic
(Excel Worksheet) formats.
b. The Effective Date of current Quota and Expiry Date of current Quota fields in Forrm
NCDMB EQ/C shall be completed for the approved positions, and uploaded on the NOGIC
JQS.
c. Unless otherwise authorized in writing by the issuing agency, the job-titles or designations on
the Expatriate Quota approval shall remain unchanged for the duration specified in the FMIs
letter(s) of grant of Expatriate Quota.
d. The list of Nigerians to fill the rejected positions shall be forwarded by the Applicant to the
NCDMB for approval before final approval of the expatriate quota positions is obtained from
the FMI.
5.6 Continuous Monitoring of Approved Expatriate Quota
Whenever the need arises for an already approved application to be re-evaluated, the Applicant
shall submit a Capacity Building Plan (CBP) stating the capacity building initiatives that will be
undertaken by it (as agreed with the NCDMB) with regards to Nigerian indigenes for any of the
positions to be granted.
5.7 Re-Designation of Expatriate Quota Positions
Whenever the need arises for an already approved quota title to be re-titled, the Applicant shall
make a request to the NCDMB, stating the old quota title, the new quota title; the expatriate staff
occupying the position and provide justification for the re-designation to the satisfaction of the
Board.
6. BIOMETRIC DATA CAPTURE
6.1 All Operators, IOCs, Indigenous Operators and all other entities providing services and carrying
on business in the Industry shall present all their expatriate staff to the NCDMB within a week of
their entry into the country for the capturing of their Biometric Data.
6.2 For renewals and re-designations, biometric data of expatriate staff must have been captured by
the NCDMB prior to the applications being made by the Applicant.
7. REGISTRATION ON NOGIC JQS
7.1 Registration on the NOGIC JQS shall be a condition precedent for all contractors expatriate staff
working for Operators in the Industry.
7.2 Operators in the Oil and Gas Industry engaging services of contractors with expatriate staff shall
ensure that such expatriates have valid NOGIC Expatriate Biometric (EB) Identification Cards
issued by the Board.
8. EMPLOYMENT COMMITMENT
8.1 In line with Section 29 of the Act, every operator, project promoter, contractor, stakeholder
including Service Companies shall upon application for Expatriate Quota, submit a detailed
Employment Commitment plan indicating employment positions for Nigerian indigenes with
timelines for the employment (as agreed with the NCDMB).
8.2 Renewal of quota positions will be dependent on the compliance level with the previously
submitted employment commitment plan.
9. SUCCESSION PLAN
9.1 In line with Section 31 of the Act, every operator, project promoter, contractor, stakeholder
including service companies shall upon application for Expatriate Quota, submit a Succession
Plan SP.
9.2 The SP shall consist of a minimum of two appropriately qualified Nigerian Indigenes
understudying each incumbent expatriate position and such SP shall include a detailed work
program on how the position will become Nigerianized over a maximum of four (4) year period
from the date of establishment of the position.
9.3 If the need arises for the relocation of an understudy, the NCDMB shall be notified with sufficient
reasons regarding the relocation and confirmation of an immediate replacement as an appropriate
alternative; provided that the duration of the understudy shall not be affected by this relocation.
Information to be provided in SP
9.4 All submissions for the SP shall be accompanied with the following:
a. Program/strategy for the reduction of expatriates, specific target dates to convert the
expatriate positions to Nigerian indigenous positions within a maximum of four (4)
years. This will include all trainings (on and off the job)
b. Salaries, wages, and benefits as provided in the companys conditions of service for
Nigerian indigenous employees
c. Conditions of service and staff demography on cadres
10. ANNUAL MANDATORY SUBMISSIONS TO NOGIC JQS ON HUMAN CAPACITY

PROFILE
10.1 All Operators, Alliance Partners and Service Companies are required to submit the under-listed
documents to the NCDMB by March 31 of the current year, notwithstanding whether or not an
EQ application had been submitted or would be submitted during the year:
i. List of all expatriate staff on temporary or permanent employment in the company or entity
as listed in Form NCDMB EQ/C, on paper and electronic (Excel) format;
ii. Total list of Nigerian indigenous Staff as provided in Form NCDMB EQ/D, made on paper
and electronic (Excel) format;
iii. Form NCDMB SP/A and SP/B, made on paper and electronic (Excel) format
iv. The electronic copies of required Forms in (i), (ii) & (iii) shall be uploaded into the
portal.nogicjqs.com and paper copies forwarded to the Board appropriately.
11. COMPLIANCE REQUIREMENTS & MONITORING.
11.1 Compliance with these Guidelines to the satisfaction of the Board shall be a major criterion for
any award of NCCC and NC requirements for ITTs.
11.2 Every operator, alliance partner, project promoter, contractor, service companies and stakeholder
in the Industry shall each be responsible for ensuring the strict adherence to these Guidelines by
its corporate entity.
11.3 In furtherance of this, all Expatriate(s) shall be duly designated and deployed strictly in
accordance with the approved designations and shall not be deployed, engaged or permitted to
undertake any other role, service or responsibility contrary to the approval granted pursuant to the
Expatriate Quota application made.
11.4 Expatriate(s) shall depart from Nigeria promptly upon the completion of the project or work for
which the Expatriate Quota approval was granted by the FMI and in no event shall any
Expatriate(s) be permitted or authorized to remain in the employment of any stakeholder
following the completion of the relevant project unless with the written approval of the NCDMB
and the FMI, and in line with the provisions set out in these Guidelines.
11.5 NCDMB shall, in accordance with the provisions of Section 59 and 62 of the Act monitor
compliance with these Guidelines and the provisions of the Act. Such monitoring may include but
is not limited to unscheduled visits to offices or job sites of the companies, as the Board deems
necessary
12. CONSEQUENCES OF NON-COMPLIANCE
12.2 In particular, any Operator or stakeholder who employs , permits or procures the employment of
any expatriate staff either on permanent or temporary position(s) including TWP in the Industry
outside of the procedures specified in these Guidelines shall be deemed to be in default thereof.
12.3 The Board shall first duly notify the operator or other stakeholders concerned of any identified
default(s); and specify the step, action and/or remediation required to correct the non-compliance
indicating the necessary timeframes within which compliance must be achieved to the satisfaction
of the Board.
12.4 Thereafter, the Board shall in its discretion, apply the sanction deemed applicable. Where
appropriate, this shall include making necessary arrangements for the removal/expatriation of
those affected by the default, from Nigeria.
13. FORMS AND CHARTS
13.1 EQ/A New EQ Applications Form
13.2 EQ/B EQ Renewals Form

13.3 EQ/C All Expatriate Staff Details
13.4 EQ/D Nigerian Staff Details
13.5 SPC Succession Plan Chart
13.6 ECC - Employment Commitment Chart
INTERVIEWPROCESSFORESTABLISHINGNEWEXPATRIATEQUOTA
ApplicantCompany
submitsdraftcopyof
advertstotheBoard
NCDMBapprovesor
makesinputs&agrees
withApplicantCompany
Applicationsby
applicantsshouldbein
duplicates:1tothe
ApplicantCompany&1
toNCDMBsNOGICJQS
Selectionprocessdone
bytheApplicant
Company&theBoard
notifiedonshortlisted
candidates
ApplicantCompany
notifiestheBoardonthe
interviewdates
NCDMBsends2
representatives(1from
CB&1fromPRS)tothe
interviewpanel.The
numberofqualified
applicantsareagreedon
Briefspreparedbythe
interviewpanel&co
signedbytheBoards
representative
Acopyofthebriefsis
submittedtotheBoard
(PRS)aspartofthe
requirementforEQ
application
PleaseTurnOver
ApplicantCompany
uploadsstaffnominal
rolesonJQS SupportingDocuments
Employmentcommitment
SuccessionPlan
EQApplicationmade
Jobdescriptionsandqualifications
byApplicantCompany CompleteCompanyorganogram withnames
withsupporting ofstaffoccupyingmanagementpositions
documents Trainingplan/ScheduleforNigerianstaff
No Nigerianized positionswithdates
NigeriansonCrossPosting/ExchangeProgram
Currentprojectsbeingcarriedoutbythe
Supporting Company
Proofofexpatriateregistrationwith
Documents
professionalbodiesinNigeria
Complete ListofBiometricDataCaptureforstaff
Listofexpatriatestaffnotyetcaptured
Yes
NCDMBbenchmarks
Nigerianpositionswith
expatriatepositionon
thebasisofsubmitted
organogram
Jointevaluation
meetingwithapplicant
companytostreamline
theBoardsposition
Approvals/Rejections
made&postedbackto
ApplicantCompany
Submissionbythe
applicantcompanyon
howtofilltherejected
positions(ifany)
No
Submitted
Documents
okbythe
Board
Yes
ApprovalssenttoFMI
Listofapproved
positions,EC,SPsentto
DMEforcompliance
monitoring
TheEnd
Template 4.4.2
EXPATRIATE QUOTA CHECKLIST
1. Application letter to the Executive Secretary stating the positions being applied
for
2. Total expatriate and Nigerian staff list completely filled out and uploaded on the
NOGIC JQS
3. Employment Commitments listing number of Nigerians to be employed, positions
and timelines
4. Compliance level with previous employment commitments
5. Advertisements in the media and NOGIC JQS for all new expatriate quota
positions to be established
6. Job descriptions and qualifications for all quota positions applied for
7. Organogram of the Company showing placement of all Management staff
(expatriates and Nigerians)
8. EQ forms completely filled out in soft copies with 2 understudies per quota
position
9. All past and current FMI approval letters
10. Succession Plan template for the expatriate positions completely filled out with
understudies and their positions/experience
11. List of expatriates on NDCMB biometric database with photocopies of biometric
ID cards
12. Nigerianized positions with names, positions and dates (if any)
13. Nigerians on cross posting with names, positions, duration of stay and date of
posting (if any)
14. Training plan/schedule for Nigerian staff
15. Current projects being carried out by the Company
16. Proof of expatriate registration with professional bodies in Nigeria
17. Details of staff rationalization from January 2012 to date (if any)
Expatriate Quota Knowledge Transfer Schedule Report
Monitoring & Evaluation Template
Understudy Knowledge Gap Closure Development Plan (c) 2016 NCDMB PROPRIETARY
Name of Project:
Skills Sets (Job *Detailed Breakdown of

Name of Qualification Identified Skills Gap Deliverables from
Position of Qualification of Position of Description and Start Date of End Date of Understudy **NC Commitments
S/N Name of Expatriate Nigerian of between Expatriate Gap Closure Plan On-The-Job (OJT)
Expatriate Expatriate Understudy Skills Required for Training Training Achievements (Every 6 (As indicared below)
Understudy 1 Understudy and Understudy Training Months)/Milestones
this Position)
*We expect a detailed breakdown of what the understudy would have learnt at the end of each six months , which will spread
across the duration of the understudy period.we expect a detailed breakdown of skill transferred over a period of 4 years in
measurable / determinable indices.
**NC Commitments - This should comprise of assurances the requesting company is making to the Board regarding the understudy's
progress as a result of knowledge tranfer on the project.
Examples of Such Commitments include:
e.g. 1 - At the end of project, the Nigerian Understudy will be competent enough to execute the duties for which he/she was
understudying.
Type of Training- Ascertain the Job description.Identify skills sets required for this Position.
Plan- Detailed breakdown of the Knowledge/Skills transfer.
Name of Skills Sets (Job Deliverables *Detailed Breakdown of **NC

Qualification Identified Skills Gap
Nigerian Position of Description and Start Date of End Date of from On-The- Understudy Commitments
of between Expatriate Gap Closure Plan
Understudy Understudy Skills Required for Training Training Job (OJT) Achievements (Every 6 (As indicared
Understudy and Understudy Months)/Milestones
2 this Position) Training below)
4.5 FABRICATION AND WELDING: EDUCATION, TRAINING ,

QUALIFICATION AND CERTIFICATION SERVICES
Pursuant to Section 53 of the Act
CONTENTS:
INTRODUCTION
OBJECTIVES
APPLICABILITY
SCOPE
NIGERIAN CONTENT REQUIREMENTS
1. INTRODUCTION
1.1 Section 53 of the Act provides that all Operators, project promoters, contractors and any other entity
engaged in the Nigerian Oil and Gas Industry shall carry out all fabrication and welding activities in
Nigeria.
1.2 Accordingly, in order to give full implementation to this provision, the Board deems it fit to provide
guidance to operators, project promoters, contractors and other stakeholders on the requirements which
shall be complied with by every entity undertaking the business of fabrication and welding.
1.3 Also, the Board gives due recognition to the Nigerian Institute of Welding (NIW) as the Authorized
National Body (ANB) for accreditation of all welder training programs, qualification and or
certification of all practicing welders (expatriate or national), and witnessing of welding procedures in
the Industry.
1.4 Specifically, the Guidelines provide procedure for the Education, Training, Qualification and
Certification of welders, pipers, joiners, fitters and welding inspectors to international standards and
engagement of testing service providers; as well as the role of NIW in such activities. In addition, it
establishes rules and stipulates compulsory requirements for the practice of welding and welding
inspection in the Industry.
2. OBJECTIVES
2.1 The objectives of these Guidelines are to:
a. Create an efficient fabrication industry for in-country fabrication of welded products in view
of Section 53 of the NOGICD Act which effectively places a ban on importation of welded
products;
b. provide Nigerian Content requirements for rendering services related to fabrication and
construction in the Industry;
c. prescribe the skills set required for carrying out fabrication services;
d. standardize training and certification of welders in Nigeria under the ambit of the Nigerian
Institute of Welding (NIW);
e. Establish compulsory rules and guidance for the national practice of welding and welding
inspection, whether by Nigerians or expatriate welders and/or welding inspectors; and
f. Establish a national system (database) for monitoring, validating and re-evaluating skills
(welders, fitters, inspectors or supervisors) whether expatriate or not for all fabrication and
construction services in the Industry.
3 APPLICABILITY
3.1 The Guidelines apply to:
a. all operators, project promoters, contractors as well as every other entity whose business
involves the fabrication and construction of items specified in the Schedule to the Act, and
b. The Nigerian Institute of Welding
4 SCOPE
4.1 The fabrication of the following shall be in accordance with the NC Level specified in the Schedule,
namely:
a. Terminal Oil Movement Systems;
b. Drilling Modules/Packages;
c. Piles, Anchors, Buoys, Jackets, Bridges, Flare;
d. Booms , Storage Tanks, Pressure Vessels Umbilical;
e. Topside Module;
f. Accommodation module;
g. Subsea Systems;
h. Pipeline Systems;
i. Risers; and
j. Utilities module Package.
5. NIGERIAN CONTENT REQUIREMENTS
5.1 In order to create an efficient fabrication industry for in-country fabrication of welded products,
every stake holder namely NIW, Service Companies, as well as Operators shall make provision
for:
a. continuous Training, Certification and Qualification of its welders, pipers, joiners and
fitters to international standards;
b. such training, certification and accreditation shall be undertaken at NIW or such
institutions or centres accredited and certified by the NIW to provide the training; and
c. the engagement of third party testing service providers.
5.2 Certification and Accreditation Requirements
5.2.1 All providers of tests relating to fabrication and construction such as (but not limited to)
Non-Destructive Test (NDT), mechanical tests, Post Work Heat Treatment (PWHT) shall provide
evidence of being certified by the Nigerian Institute of Welding to render such services.
5.3 Evidence to be supplied during the tendering process shall include:
a. proof of membership of the NIW; and

b. details of location where the fabrication and welding projects of the company will be
done.
5.4 All fabrication and construction yards providing service to the Oil and Gas Industry must provide
certification of their welding procedures from NIW as part of bid documents during tenders.
4.6 FREE TRADE & EXPORT PROCESSING ZONES

CONTENTS:
INTRODUCTION
OBJECTIVES
APPLICABILITY
RESPECTIVE ROLES and RESPONSIBILITIES
NCDMB/NEPZA/OGFZA COLLABORATION FRAMEWORK
MODALITY/PROCEDURE FOR COLLABORATIVE FRAMEWORK
SUBMISSION OF PERFORMANCE REPORTS
NIGERIAN CONTENT COMPLIANCE MONITORING
NC OPPORTUNITIES and BENEFITS OF COMPLIANCE
CONSEQUENCES OF NON COMPLIANCE
FREE TRADE & EXPORT PROCESSING ZONES: Guidelines for Inter-

Organizational Implementation of the Act by NCDMB, NEPZA and OGFZA
1. Introduction
1.1These Guidelines illustrate the collaborative approach engaged by NCDMB in conjunction with
the Nigerian Export Processing Zone Authority NEPZA and the Onne Oil and Gas Free Zone
Authority OGFZA for the purpose of creating an enabling environment for the Board to perform its
statutory mandate of driving, monitoring and enforcing Nigerian Content among organizations
operating within the Free Trade/ Export Processing Zones FT/EPZs.
1.2 Specifically these Guidelines provide the operational framework, the protocol, coordinating
procedure as well as the methodology that the three (3) institutions will engage for the
implementation of the NOGICD Act within the FT/EPZs.
2. Objective
2.1 The Guidelines seek to achieve the following objectives:
a) Create awareness of the Act and its provisions which affect organizations operating within the
FT/EPZs;
b) Drive the development of Nigerian Content among organizations that operate within the export
processing zones and provide products and/or service to the Nigerian Oil & Gas Industry;
c) Create a platform for joint collaboration between the Board and regulators of FT/EPZs;
d) Foster cordial relationship between the Board and regulators of FT/EPZs;
e) Enable a seamless enforcement and monitoring of the Act among the Board and companies
operating within the FT/EPZs.
3. Applicability of Nigerian Content Guidelines to Free Trade/ Export Processing Zones
3.1 Section 1 of the Act provides that:

Notwithstanding anything to the contrary contained in the Petroleum Act or in any other
enactment or law, the provisions of this Act shall apply to all matters pertaining to Nigerian
content in respect of all operations or transactions carried out in or connected with the
Nigerian Oil and Gas Industry
3.2 Pursuant to the above, all the provisions of the Act are fully applicable to and enforceable
in respect of all activities in the FT/EPZs.
4. Respective Roles and Responsibilities

4.1 NEPZA
a. The Nigerian Export Processing Zone Authority (NEPZA) is the government Agency managing areas
designated as Free Trade and Export Processing Zones in Nigeria.
b. NEPZA has responsibility for promoting and facilitating local and international investments within the
said FT/EPZs.
c. The Agency monitors the activities of industries and businesses licenced to operate in FT/EPZs; and
also ensures as well as enforces their obedience and compliance to rules and regulations prescribed by the
Government; including the Nigerian Content requirements established under the Act.
4.2 OGFZA
a. Onne Oil and Gas Free Zone (OGFZ) is a dedicated oil and gas free zone located at Onne/Ikpokue in
Rivers State, Nigeria.
b. OGFZA is a one stop agency that liaises with other Government Agencies and parastatals on behalf of
clients and businesses operating in the Zone.
4.3 NCDMB
a. The responsibility for the implementation and enforcement of the Act rests with the NCDMB.
b. Under the Act, the role of the NCDMB includes the supervision, coordination, administration and
monitoring of the implementation of Nigerian Content requirements with regards to all operations or
transactions carried out in or connected with the Nigerian Oil and Gas Industry; including in the
FT/EPZs.
c. The NCDMB has the mandate of making procedures/guidelines to guide the implementation of the Act
and ensure compliance with all the provisions of the Act.
4.4 In the light of the above, the Board has developed a Framework to engender a collaborative
interface between the Board and respective managements of NEPZA and OGFZA.
5. NCDMB/ NEPZA/ OGFZA Collaboration Framework
5.1 In line with the mandate given to the NCDMB under the provisions of the Act, the Board seeks to
drive Nigerian Content in the FT/EPZs through the issuance of guidelines across each phase of the
NCDMB/ NEPZA/ OGFZA Collaborative Framework.
5.2 These Guidelines, which are in consonance with the Act serve as the means through which the Board
shall implement the outlined activities that are stated in the Collaboration Framework.
6. Modality/ Procedure for Collaboration
6.1 Creation of Nigeria Content Desk:

a. Each of the respective managements of NEPZA and OGFZA shall appoint a Nigerian Content liaison
officer NC Liaison from the middle or senior management cadre of the organization who will act as the
direct interface/contact with the Board on monitoring/ inspection related matters.
b. The NC Liaison officer shall be responsible for sensitizing and drawing attention of the responsible
officers in the Companies and enterprises operating in the FT/EPZs to the Nigerian Content requirements,
stipulations and directives issued by the NCDMB.
c. Communication on Nigerian Content: As part of his schedule, the appointed NC liaison officer shall
receive and respond to all enquiries relating to Nigerian Content within the FT/EPZs.
d. Enquiries which are beyond the immediate purview of the NC liaison officer shall be referred to the
NCDMB by the said officer.
e. In addition, the enquirer may engage directly with the NCDMB where further clarification is required
on any matter that has been referred to the NC liaison officer.
6.2 Joint Awareness Drive
a. NCDMB, in conjunction with the respective management teams of NEPZA and OGFZA, shall
embark on phased Nigerian Content enlightenment campaigns, fora, workshops and other awareness
programmes for licensees and businesses operating in the FT/EPZs.
b. The purpose of the awareness drive is to avail companies operating within the FT/EPZs of the:-
i. Nigerian Content requirements of the Act;
ii. contents of Operational Guidelines, procedures, directives; and
iii. public notices as well as other relevant information published by the NCDMB ;
in order to familiarize the said companies with their compliance responsibilities and obligations under
the provisions of the Act.
6.3. Direct Engagement
Where necessary, companies operating within the FT/EPZs may also seek to hold direct engagement
with the Board on Nigerian content matters.
6.4 Nigerian Content Requirements In Free Zone Operating Protocols:

6.4.1Section 2 of the Act provides as follows all regulatory authorities shall consider Nigerian
Content as an important element of their overall project development and management philosophy.
6.4.2 In compliance with the above provision the respective managements of NEPZA and OGFZA shall
include Nigerian Content requirements as part of the Terms and Conditions in their operating
agreements including tenancy agreement with their tenants, namely organizations operating in the
FT/EPZs.
6.5 Mandatory Registration on NOGIC JQS portal.

6.5.1 In compliance with the provisions of Sections 55 and 56 of the Act, the respective managements
of NEPZA and OGFZA shall make it mandatory for all companies operating in the FT/EPZs;
including those supplying products and/or rendering services to Oil & Gas operators in Nigeria
to register with NOGIC JQS portal (http//portal.nogicjqs.com).
6.5.2 The registration shall be in accordance with the Guidelines issued by the Board for the purpose.
6.5.3 Registration on NOGICJQS is a requirement for participation in oil and gas related tenders and for
obtaining relevant Nigerian Content certifications and categorisation from the NCDMB.
6.6 Application of Tender Eligibility Requirements to FT/EPZs
6.6.1All suppliers of equipment to the Oil & Gas Industry operating within the FT/EPZs and/or service
providers that use equipment for rendering service within the Industry must obtain NCEC for each type of
equipment to qualify for participation in tenders related to the equipment.
6.6.2All operators of marine vessels whose office of operation is within a Free Trade/ Export Processing
Zone shall register all their vessels with the NCDMB for the purpose of their being categorized and
qualified to participate in tenders.
6.6.3All companies that operate within the FT/EPZs and carrying on activities or rendering service within
the Industry in Nigeria who require the services of expatriate staff shall, in compliance with Section 33
(1) of the Act, submit and obtain Expatriate Quota approval from the NCDMB prior to applying to the
Ministry of Interior/ Internal Affairs or any other agency or Ministry of the Federal Government, for the
Quota approval.
6.6.4 The Guidelines issued by the NCDMB in respect of the above NC requirements shall be complied
with.
7. Submission of Performance Reports
7.1 All companies operating within the FT/EPZs are required to submit their performance reports to the
NCDMB in such format satisfactory to Board, detailing their performance on contracts related to the
Industry.
8. Nigerian Content Compliance Monitoring
8.1 All companies operating within the FT/EPZs are required to provide vital information to NCDMB
staff that may visit their facilities on need basis and/ or NCDMB staff that may visit their facilities to
assess progress on approved contracts emanating from any oil and gas project.
9. NC Opportunities and Benefits of Compliance

9.1 Companies operating within the FT/EPZs who have obtained relevant Nigerian Content certification
in accordance with the Guidelines and procedure issued by the NCDMB shall receive appropriate
Nigerian Content score during tender evaluation.
9.2Companies operating within the FT/EPZs are eligible to access NCDF using the approved guidelines
issued by the Board for accessing the fund.
10. Consequences of Non-Compliance
10.1 The failure, delay and/or refusal on the part of any company operating in the FT/EPZs to comply
with and adhere to these Guidelines shall attract sanction in accordance with the implementation and
enforcement process established by the Board and published in this Handbook.
10.2 In particular, any company in the FT/EPZs to whom these Guidelines apply shall ensure strict
compliance with the provisions herein; otherwise the company or service provider shall be deemed to
be in default of the Guidelines.
10.3 The Board shall first duly notify the company involved about the identified default(s); and specify
the step, action and/or remediation required to correct the non-compliance; indicating the necessary
timeframes within which compliance must be achieved to the satisfaction of the Board.
10.4 To ensure effective implementation and enforcement, the Board shall apply such applicable sanction
on any defaulter who persists in noncompliance with the Guidelines.
4.7 HUMAN CAPITAL DEVELOPMENT

Pursuant to Sections 10(1)b, 28, 29,30,31(1), 40 and 70 of the Act
CONTENTS:
PREAMBLE
IMPLEMENTATION PROCEDURE HCD PROGRAMS
RESPONSIBILITIES
APPENDICES
APPENDIX 1:PROJECT CATEGORY MATRIX FOR DETERMINATION OF

TRAINING MAN HOURS
APPENDIX 2:(A) TRAINING IMPLEMENTATION TEMPLATE
(B) BUDGET/COST BREAKDOWN
1
1.0 PREAMBLE
These Guidelines are developed to guide the implementation of the provisions of the NOGICD ACT
with respect to Human Capital Development in the Nigerian Oil and Gas industry . The Guidelines
will enable Operators and all other stakeholders in the Industry to develop relevant project-based
HCD plans aimed at closing identified skill gaps in the Industry in conformity with the Act.
1.1 SCOPE
The Guidelines shall be applicable to all training program initiatives, which shall be targeted at
growing relevant capacities in-country in the Industry, including the NCDMB Skill Development
Program.
1.2 REFERENCES
The following Sections of the Act and its Schedule:
Sections 10 (1) (b); 28; 29; 30; 31(1); 40; and 70.
1.3 DEFINITIONS
OGTAN Oil and Gas Trainers Association of Nigeria
PROJECT An Investment in the Oil and Gas activity chain (exploration, development, and
production operations), which when completed, will deliver a real value. Generally, they tend to be
standalone, identifiable, and can span multi-years, in many cases.
2.0 IMPLEMENTATION PROCEDURE FOR HCD PROGRAMS
2.1 HCD TRAINING MODEL

The training model for all HCD programs is aimed at addressing entry level qualifications and
improving level of employability into the Industry. All trainings under this model must be
tailored to an identified need and ultimately lead to Industry recognized or approved
certification, based on industry/project specifications.
The following shall be considered in the development of any HCD program:

1. Training shall be conducted by Certified trainers membership of bodies
is not sufficient.
2. Training may be performed by the contractor, so long as they are equipped to train.
3. Training duration shall be the same as the duration of the project, or 12 months,
whichever is longer.
4. Training programs shall consist of the following:
a. Classroom Training
b. OJT for hands on experience on live projects or prototype projects
c. Industry recognized Competency Certification
5. The Training Curriculum shall not be limited to technical modules but shall include
modules on Personal Effectiveness and Entrepreneurship.
2
2.2 SKILLS DEVELOPMENT PROGRAM
a. Pursuant to the provisions of Section 70(n) of the Act which empowers NCDMB to carry
out capacity building initiatives, NCDMB commenced a Skills Development Program,
wherein training and certification shall be provided for graduates of Engineering,
Geosciences, Enviromental Sciences and Vocational fields (welding, fitting and metal
machining, NDT technicians, Quality Control and HSE).
b. NCDMB shall engage OGTAN members who are Internationally Certified or possess
requisite qualifications to provide training services in the identified areas.
c. NCDMB shall approach Operators for collaboration through provision of practical

training and post-certification attachments in relevant technical areas.
d. NCDMB shall fund this Program from the NCDF and its budgetary provisions.
2.3 OPERATORS PROJECT-BASED TRAINING
a. Sections 10(b), 28 (1), and 30 of the Act require that Operators give first consideration to
Nigerians with respect to employment and training in their projects. The Operator shall, based
on skills analysis performed for the Project, identify skill gaps, and indicate how they intend
to close the gap in the NC Plan for each Project.
b. This shall be reviewed and approved by NCDMB within 30 days of receipt of the NC Plan.
c. The Operator shall provide information of the level of resources commitment (Total Training
Man Hours, Training Budget/Costs, etc) under the HCD program in the Projects NC Plan
which shall be approved by the NCDMB.
d. Prior to commencing training implementation, the Operator shall submit detailed Training
Implementation Plan as outlined in the NC Plan. The implementation details which shall
include the information below, shall be approved by the NCDMB, which approval shall not
be unreasonably withheld; -
Approved or draft copy of Nigerian Content Compliance Certificate (NCCC)

Description of Project Scope of Work
Total Project Man Hours
Project Cost
Training Manhours
Training Cost
3
Training Curriculum which should comprise of technical modules and include

Personal Effectiveness and Entrepreneurial topics
O.J.T. Schedule/Plan
Classroom Schedule/Plan
Names/Shortlist of training providers (NCDMB will verify and visit training
facilities)
Criteria for selecting Training provider and selection process
Information on relevant Certifications
Where applicable an M.O.A should be provided to NCDMB for offshore training
providers
Submission of employment plan for Project phases
Personnel required for the different phases of the Project
e. The duration of this program shall be optimally determined based on the nature of each specific
skill to be acquired and shall run within the life of the project for which the NC Plan was submitted
or for 12 months, whichever is longer.
f. Where applicable, and as much as is practicable, provision shall be made for relevant HSE, Basic
Offshore Safety Induction and Emergency Training (BOSIET), and any other safety related training
that will enable the trainees to visit and work on offshore platforms and onshore facilities.
2.4 THIRD PARTY TRAINING
NCDMB shall provide guidance to other agencies, institutions and sectors that are interested in
training, and who enquire about the HCD program from time to time. This is to ensure that their
programs address relevant needs and meet industry certification, standards and best practice.
2.5 NOMINATION AND SELECTION OF CANDIDATES/TRAINEES FOR HCD PROGRAMS
a. Following approval of the Training Implementation Plan by NCDMB which approval shall not be
withheld for more that 15 working days, (provided the submitted Training Implementation Plan
has met the NCDMBs specified requirements), the Operator shall request NCDMB to provide the
nominations of prospective candidates who shall undergo selection tests and oral interview.
b. NCDMB shall not withhold the approval of candidates to be trained on any project for more than
15 working days.
c. NCDMB shall nominate candidates for all trainings under these Guidelines from its database, the
NOGIC JQS.Candidates to be nominated and selected/shortlisted will be from the six (6) geo-
political zones of the Federation with a minimum of fifty percent (50%) of the nominees from the
Oil and Gas Producing areas and catchment areas of the Project/ Operations (for Project based
training programs). The candidates shall undergo preliminary tests to be organized by the trainer
in conjunction with the Operator to ensure selection of appropriate trainees for each program.
NCDMB shall be represented during the selection exercise.
d. Final selected candidates shall be officially communicated by the Operator to NCDMB.
e. The number of candidates and training manhours will be calculated in accordance with the Man
hours Calculation Template attached as Appendix I.
f. Joining instructions shall be communicated by the trainer to the selected trainees and a formal
kick-off meeting held with NCDMB and Operator in attendance.
2.6 ALLOWANCES FOR TRAINEES
4
a. During the period of training (Classroom and OJT), trainees shall be paid monthly
allowances to cover cost of transportation to and from training/ work place and other
personal expenses.The minimum shall be as stated below and categorised as follows:
University Degrees/ HND N120,000.00 (monthly);
OND and Lower entry qualifications N85,000.00 (monthly);
b. Trainees shall be served lunch meals at the training site or paid allowances in lieu of
such;
c. Trainees shall be given access to medical facilities of the trainer during the
training period.
2.7 CERTIFICATION
The following shall be a minimum as it relates to the discipline as recommended by the Operator
and shall be agreed and approved by NCDMB
2.7.1 SOFTWARE ENGINEERING TRAINING
AutoCAD- Automated Computer Aided Design

MS - Microstation Designer
SPR - Smart Plant Review Model Navigation
PDS/EQP- PDS Equipment Modeler
Electrical - SKM, ETAP or equivalent
Instrumentation - Intools or equivalent
Other relevant Softwares
2.7.2 GEOSCIENCE TRAINING
Preparatory to qualifying for trainers in-house certificate (Diploma)
2.7.3 QA/QC
American Society for Quality(ASQ)

Certified Quality Process Analyst (CQPA)
British Standard Institution (BSI)
Quality Management System
Lead Auditor
Non Destructive Test- ASNT I & II
2.7.4 ARTISAN TRAINING
Scaffolding - CITB or Equivalent

Rigging - CERTIFIED RIGGER LEVEL I or Equivalent
Welders - IIW, IWC, WQTC or Equivalent
Pipe Fitting - IIW, IWC, WQTC or Equivalent
2.7.5 Global Maintenance for FPSO and Other Oil and Gas Production Facilities
i. Operations and Maintenance of ICSS on the FPSO- To qualify for Certified Automated
Engineering (CAE) or a training on specific ICSS Vendors Product Solution.
5
ii. Computerised Maintenance Management System (CMMS) Software, including AMOS, Q4,
etc. - To qualify for trainers in-house certificate
iii. Crane Operations- To qualify for:

Certificate of Safe Operations of Cranes, Forklift Trucks, etc.
Certificate of Competency for Crane operator
iv. Operations of Oil Meters (LACT)/Calibration of Prover Units- To qualify for trainers in-
house certificate
v. Maintenance of Rotating Equipment, including Pumps, Compressors, Turbines,etc-To qualify

for trainers in-house certificate
vi. Maintenance of Static Equipment, including Tanks, Vessels, Heat Exchangers, Drums,
Manifolds, etc -To qualify for trainers in-house certificate
vii. Maintenance of Heating, Ventilation & Air Conditioning System (HVAC) on the FPSO Unit
- To qualify for trainers in-house certificate
viii. Maintenance of Wellheads and Valves-To qualify for trainers in-house

certificate.
3.0 RESPONSIBILITIES
3.1 MONITORING
a. NCDMB shall carry out regular monitoring of all HCD programs in line with the
provisions of the Act
b. The Contractor shall be responsible for the day-to-day monitoring of the training
program. Joint NCDMB and Operator monitoring/inspection exercise shall be
undertaken to ensure compliance with the scope committed in the approved Training
Implementation Plan.
3.2 REPORTING OF TRAINING ACTIVITIES
a. It shall be the Contractors responsibility to ensure performance of the training

requirement vis a vis utilization of the training manhours and adherence to the
approved training schedule/curriculum etc even when it is contracted to a third party.
b. The Trainer/Contractor shall ensure that a weekly/monthly competency development
report is completed by every trainee and signed off by their supervisor.
c. The Contractor shall ensure monthly performance reporting of the training activities
to the Operator who in turn shall report to NCDMB.
d. Upon completion, the Training Organization/Trainer shall provide feedback on each
trainee, including achieved competency/certification; which shall be migrated to
NCDMBs Joint Qualification System.
e. A detailed Close-Out Report shall be submitted to the Operator at the end of every
training program and transmitted to NCDMB.
f. Information on the training shall be the sole preserve of the Operator and NCDMB.
NCDMB shall have the prerogative to divulge information on any training program as
may be deemed necessary.
6
4. ENFORCEMENT and CONSEQUENCES OF NON-COMPLIANCE
4.1 The failure, delay and/or refusal on the part of any operator, project promoter, contractor or
other stakeholder in the Industry to comply with and adhere to these Guidelines shall attract
sanction in accordance with the implementation and enforcement process established by the
Board and published in this Handbook.
4.2 In particular, any operator or stakeholder to whom these Guidelines apply shall ensure strict
compliance with the procedures specified herein; otherwise the operator/stakeholder shall be
deemed to be in default of these provisions.
4.3 The Board shall first give due notification about the identified default(s); and specify the step,
action and/or remediation required to correct the non-compliance; indicating the necessary
timeframes within which compliance must be achieved to the satisfaction of the Board.
4.4 To ensure effective implementation and enforcement, the Board shall apply such applicable
sanction on any defaulter who persists in noncompliance with the Guideline; including
withdrawal of patronage, support and necessary approvals required from the Board.
7
APPENDIX 1
PROJECT CATEGORY MATRIX FOR DETERMINATION OF TRAINING MAN HOURS AND

TRAINING FUND.
PROJECTS SERVICE PROCUREMENT

(% of total project man-hours) (% of total contract cost) (% of total contract cost)
MAJOR 10% 1% 0.5%

(Above $500M)
MEDIUM 12% 2% 1%
($100M-$500M)
SMALL 15% 3% 2%
(Below $100M)
8
APPENDIX 2
A. TRAINING IMPLEMENTATION TEMPLATE
S/N TRAINING TRAINER DURATION NO. OF MAN ENTRY SELECTION SCHEDULE CERTIFICATION OJT/INTEGRATION
SCOPE/DESC TRAINEES HOURS REQUIREMENT/D CRITERIA (START-END) PLAN
RIPTION ISCIPLINE
B. BUDGET/ COST BREAK DOWN
S/N COST ELEMENT DESCRIPTION QTY UNIT COST TOTAL COST
CURRICULUM
FACILITIES
TRAINEES
EQUIPMENTS
SOFTWARES
CERTIFICATION
CONSUMABLES
WELFARE
MISCELLANEOUS
BUDGET
9
4.8 INFORMATION SYSTEMS/ INFORMATION TECHNOLOGY/

COMMUNICATIONS SERVICES
Pursuant to Sections 43, 44, 45 and 46 of the Act
CONTENTS
INTRODUCTION
OBJECTIVES
APPLICABILITY
DEFINITIONS
RESPONSIBILITIES
PROCEDURE
1. INTRODUCTION
1.1 In line with the National ICT vision for Nigeria to be a knowledge-based and globally competitive
economy, it is imperative that information and communications technologies are fully integrated
into the socio-economic development and transformation of Nigeria.
1.2 The promotion of ICT indigenous participation in the Nigerian Oil and Gas Industry is one of the
means by which the facilitation of rapid growth and development in the nations economy can be
achieved.
1.3 To ensure this, the NOGICD Act requires every Operator in the Industry to carry out programmes in
accordance with Nigerias own plans and priorities for the promotion of technology to Nigeria in
relation to its Oil and Gas activities.
1.4 The Board has identified Information, Communication and Technology as a veritable tool for the
transfer of technology in the Nigerian Oil and Gas Industry.
1.5. By virtue of the provisions of Sections 43-46 of the Act, every Operator is required to submit
annually to the Board, a plan setting out a programme of planned initiatives aimed at promoting the
effective transfer of technology from the Operator and Alliance Partners to Nigerian individuals and
companies.
2. OBJECTIVES
2.1 The objectives of these Guidelines are to:
a. specify the National ICT priorities in the Nigerian Oil and Gas Industry;
b. provide guidance on how to achieve the Information ,Communication and Technology targets
set out in the Schedule to the Act;
c. stimulate ICT equipment component manufacturing, assembly of ICT equipment and
technology acquisition by indigenous ICT companies;
d. encourage indigenous software development; and
e. promote and strengthen the indigenous ICT human capacity development in the Industry
3. APPLICABILITY
3.1 These Guidelines apply to all Operators, Original Equipment Manufacturers, OEM
International/Multinational ICT Companies and OEM ICT companies carrying out business in the
Industry.
4. ICT Nigerian Vision 20:2020
4.1 The long term strategic vision for the ICT sector was elaborated in the National Development Plan
titled Nigerian Vision 20:2020.
4.2 According to the document, the national vision and mission statement on ICT are as follows:
The increasing globalization driven by ICT makes it imperative for Nigeria as an emerging
market to irreversibly consider the application and promotion of ICT strategy to facilitate its
rapid growth and development. This will involve the development of a vibrant ICT sector to drive
and expand the national production frontiers in agriculture, manufacturing and service sectors.
It would also require the application of the new knowledge to drive other soft sectors;
governance, entertainments, public services, media sector, tourism, et cetera; and acknowledges
that:
In respect of knowledge and digital divide the situation remains worrisome. This is, in terms of
knowledge generation, penetration of ICT, access to and usage of internet and telephone
penetration (fixed and mobile) and physical infrastructure. The knowledge and digital divide cuts
across geographical, gender and cultural dimensions. It exists among the 36 states of the
Federation plus the Federal Capital Territory, the 774 Local Governments, rural and urban
areas, men and women, rich and poor, young and old, able bodied and disabled, illiterate and
educated.
4.3 VISION STATEMENT
a. The Vision Statement is Nigeria as a knowledge-based and globally competitive society
4.4 MISSION STATEMENT
a. The Mission Statement is To fully integrate information and communications technologies into
the socio-economic development and transformation of Nigeria into a knowledge-based economy.
.
4.5 To tackle the issues mentioned above, the Government has put in place strategies designed to promote
indigenous participation in ICT activities within the Industry.
4.6 The said strategies are captured in these Guidelines:
5. MANDATORY REQUIREMENTS FOR INTERNATIONAL / MULTINATIONAL ICT

COMPANIES (OEM)
5.1 The manufacture of components of ICT hardware in Nigeria shall be a mandatory

r e q u i r e m e n t f o r a l l p r o c u r e m e n t , i n s t a l l a t i o n a n d r e l a t e d services in ICT
hardware.
5.2 All ICT OEM Companies, contractors involved in or having interest in the Nigerian Oil and Gas
Industry shall on annual basis submit a satisfactory plan to the Board for the manufacture of ICT
hardware components in Nigeria.
5.3 All ICT OEM Companies shall carry out their sales engagements and execution, including products
sales, services, licensing and all such business transactions and/ or Consultancy services through
Nigerian Indigenous ICT companies, Nigerian subsidiaries of the OEMS and Nigerian partners of the
International ICT Original Equipment Manufacturers.
5.4 The Nigerian Subsidiary of such Multinational ICT Original Equipment Manufacturers shall b e
responsible for all Nigerian I C T engagements of the Operators. Multinational ICT Companies are
prohibited from using virtual and/or remote engagement from locations outside Nigeria and/or using
foreign nationals to usurp or take over jobs that capable Nigerians can do in-country.
5.5 Revenue and proceeds from engagements by the Operator with the OEM on ICT products,
services and solutions shall be through the Nigerian Subsidiary of such ICT OEM.
5 .6 All Operators, OEM ICT companies, Contractors, Subcontractors in Nigeria Oil and Gas Industry
shall comply with these Guidelines in the design, procurement, deployment, and implementation of
Information Systems/Information Technology and Communication Services.
5.7 Commercial f u l f i l l m e n t , s u p p l y a n d i m p l e m e n t a t i o n o f I C T p r o d u c t s ,
services and solutions shall be done only through Nigerian partners of the ICT OEMs.
6. COMPLIANCE TRACK-RECORDS
6.1 Evidence of compliance with these Guidelines as well as other relevant provisions of the Act shall
be a Nigerian Content requirement for ITTs.
7. CONSEQUENCES OF NON-COMPLIANCE AND SANCTIONS
accordance with the implementation and enforcement process established by the Board and published in
this Handbook.
7.2. The Board shall first duly notify the operator or other stakeholder concerned of any identified
default(s); and shall specify the step, action and/or remediation required to correct the non-compliance
indicating the necessary timeframes within which compliance must be achieved to the satisfaction of the
Board.
7.3 Where the Operator, contractor, alliance Partner or other Stakeholder fails to meet the directions
given, the Board shall in its discretion, apply the sanction deemed applicable in the circumstances in order
to enforce compliance with the Act.
4.9 LEGAL SERVICES

CONTENTS:
INTRODUCTION
OBJECTIVES
DEFINITION
APPLICABILITY
RESPONSIBILITIES
PROCEDURE
1. INTRODUCTION
1.1 Section 51(1) of the Act provides that all operators, contractors and other entities engaged in any
operation, business or transaction in the Industry and who require legal services shall retain only the
services of a Nigerian legal practitioner or a firm of Nigerian legal practitioners whose office is located in
any part of Nigeria.
1.2 Section 51 (2) provides that every operator shall submit to the Board, every six months, its Legal
Services Plan (LSP).
2. OBJECTIVES
2.1 The objectives of these Guidelines are to facilitate:

a. compliance with the provisions of section 51(1), 51(2) and 51(3) of the Act;
b. maximise utilization of the services of Nigerian legal practitioners for every aspect
requiring legal services in the Oil and Gas Industry; and
c. the development by Nigerian legal practitioners, of the requisite capacity to meet all the legal
service requirements in the Industry.
3. APPLICABILITY
3.1 The Guidelines are applicable to all Operators, including NNPC, International Oil Companies and
Indigenous Operators, Service Companies, as well as all Companies providing services and carrying on
business in the Nigerian Oil and Gas Industry.
4. DEFINITION
Nigerian Legal Practitioner means a person called to the Nigerian Bar and licensed to
Practice law in Nigeria in accordance with the provisions of the Legal Practitioners Act, Cap
L11, Laws of the Federation of Nigeria, 2004.
5. APPLICABLE PROVISIONS OF THE ACT
5.1 Section 51 specifically provides as follows:
Section 51 (1)
All operators, contractors and any other entity engaged in any operation, business or
transaction in the Nigerian Oil and Gas Industry requiring legal services shall retain
only the services of a Nigerian legal practitioner or a firm of Nigerian legal practitioners
whose office is located in any part of Nigeria.
Section 51(2)
All operators shall submit to the Board, every six months, its Legal Services Plan
(LSP).
5.2 Accordingly, in line with the provisions cited above, all Operators shall use only Nigerian legal
practitioners in a firm of Nigerian Legal Practitioners for legal services required by them for all their
operations in Nigeria in compliance with the Act.
5.3 In the area of employment, only Nigerian legal practitioners shall be employed in the Oil and Gas
Industry.
5.4 Retainership of legal services shall be procured from Nigerian legal practitioners whose offices are
located in Nigeria.
6. LEGAL SERVICES PLAN
6.1 Section 51(3) of the Act stipulates the contents of the Legal Services Plan, which shall include:
a. Comprehensive report on:

i.) legal services utilized in the past six months by expenditure;
ii) a forecast of legal services required during the next six month; and
iii)the projected expenditure for the services.
b. a list of :
i. external solicitors utilized for the legal services in the past six months;
ii the nature of work done;
iii) the expenditure made by the operator; and
c. the annual legal services budget for the past one year in Naira and foreign currencies.
6.2 CONTENTS of LEGAL SERVICES PLAN
6.2.1 Every Legal Service Plan shall include but not limited to the following:
a. Submission of Legal Services utilized in the past six (6) months detailing the nature of work
done and the Nigerian Legal Practitioners retained;
b. A forecast of the Legal Services Plan for the next six (6) months, nature, Legal Practitioners
engaged and the expenditure; and
c. Annual budget for Legal Services.
6.2.2 The Report shall be in line with the annexed template
6.2.3 The Nigerian Content target for legal services is 100% utilization of Nigerian legal practitioners and
legal services.
6.2.4 Under item 14 in the Schedule to the Act; namely for project management, operators are required to
achieve only fifty percent (50%) Nigerian Content target for legal consultancies; meaning that only fifty
percent (50%) of their spend for legal consultancy shall be exclusively for Nigerian legal practitioners.
6.2.5 It should be noted that the fifty percent (50%) legal consultancy referenced here covers legal
services related only to project management. Every other legal service required by an operator carrying
on business in the Industry is one hundred percent (100% ) Nigerian Content level under the Act.
7.1. The failure, delay and/or refusal on the part of any operator, project promoter, contractor or other
this Handbook.
7.2. In particular, any operator or stakeholder who fails to comply with the provisions of these Guidelines
or who delays, fails or refuses to submit its Legal Services Plan (LSP) in accordance with the procedure
specified in these Guidelines shall be deemed to be in default of the provisions of the Guidelines.
7.3The submission of any LSP which contains falsified or inaccurate information shall be treated as a
default.
7.4. The Board shall first duly notify the operator or other stakeholders concerned of any identified
default(s); and specify the step, action and/or remediation required to correct the non-compliance
Board.
7.5 Thereafter, the Board shall in its discretion, apply the sanction deemed applicable.
TABLE 1
LEGAL SERVICES IN THE LAST SIX (6) MONTHS
S/NO NATURE OF LEGAL SERVICES NAME OF NIGERIAN OFFICE ADDRESS OF THE VALUE OF THE
ULITISED LEGAL PRACTITIONER LEGAL PRACTITIONER SERVICES ULITISED
ENGAGED FOR THE
SERVICE ULITISED
i Project Development and Project
Implementation
ii Project Management/Consultancy
Services
iii Local Commercial Transactions
iv International commercial
transactions
v Finance & Corporate Transactions
for all Projects
vi Shares Acquisition and divestment
vii Property acquisitions, sales, leases

of real estate
viii Claims
ix Oil and Gas Assets acquisitions,

leases and sales
x Trade Dispute
xi Intellectual Property Rights
xii Alternative Dispute resolution

(ADR)
xiii Host Communities Matters
xv Litigations
xvi Any other Legal Advisory Services
5

TABLE 2
FORECAST OF LEGAL SERVICES TO BE ULTISED IN THE NEXT SIX (6) MONTHS
S/NO NATURE OF LEGAL NAME OF NIGERIAN OFFICE ADDRESS VALUE OF THE

SERVICES ULITISED LEGAL PRACTITIONER OF THE LEGAL SERVICES ULITISED
ENGAGED FOR THE PRACTITIONER
SERVICE ULITISED
i Project Development and
Project Implementation
ii Project
Management/Consultancy
Services
iii Local Commercial

Transactions
iv International commercial
transactions
v Finance & Corporate
Transactions for all
Projects
vi Shares Acquisition and
divestment
vii Property acquisitions,

sales, leases of real estate
viii Claims
ix Oil and Gas Assets

acquisitions, leases and
sales
x Trade Dispute
xi Intellectual Property
Rights
xii Alternative Dispute

resolution (ADR)
6

xiii Host Communities

Matters
xiv Litigations
xv Any other Legal

Advisory Services
7

4.10 MARINE VESSEL CATEGORISATION PROCEDURE

Pursuant to Sections 12, and 41(1) of the Act
CONTENTS:
INTRODUCTION
OBJECTIVES
METHODOLOGY
RESPONSIBILITIES
PROCEDURE
ENFORCEMENT AND CONSEQUENCES OF NON-COMPLIANCE
1. INTRODUCTION
1.1 Section 12 of t he A ct pr ov i de s t h at:

Subject to Section 7 of this Act, the Ni ger i an Content Plan submitted to the Board by
an operator shall contain a detailed plan, satisfactory to the Board, setting out how the
operator and their contractors will give first consideration to Nigerian goods and services,
including specific examples showing how first consideration is considered and assessed by the
operator in its evaluation of bids for goods and services required by the project.
1.2 Section 105 gives the Board powers in conjunction with the Nigerian Maritime
Administration and Safety Agency (NIMASA), to enforce compliance with relevant Sections
of Coastal and Inland Shipping, (Cabotage) Act in relation to matters pertaining to Nigerian
Content Development.
1.3 Pursuant to the foregoing, vessels built in Nigeria or vessels owned by Nigerian entities shall
be given first consideration in any tender or spot hire.
1.4 A vessel owned by a foreign entity or a foreign built vessel will only be allowed to operate in
the Industry after local capacity has been fully exhausted.
Marine Vessel Utilization Scheme
1.5 A strategy has been designed to deliver on the intent of the Act and targets set by the Board
to place at least sixty percent (60%) of marine assets in the hands of Nigerians by 2018.
1.6 The strategy is encapsulated in the NCDMB Marine Vessel Utilization Scheme which seeks
to:
a. encourage construction of vessels in Nigerian yards;
b. promote ownership of marine vessels by Nigerian entities;
c. stimulate flagging & registration of vessels in Nigeria; and
d. deepen Nigerian manning of marine vessels.
1.7 Under the scheme, Nigerian marine vessel owners and vessels built in Nigeria are
prequalified to participate in tenders based on a set of criteria established by the Board,
thereby reducing the long period hitherto taken to pre-qualify vendors. This is in line with
Government and I ndustry aspiration to shorten cycle time for contract award in the sector.
2.0 OBJECTIVES
The objectives of these Guidelines are to:
2.1 Disseminate the information about the targets set by the Board for placing at least 60% of
Marine assets in the hands of Nigerians by 2015;
2.2 Sensitize the Strategies developed by the Board for the achievement of the said targets which
are encapsulated in the NCDMB Marine Vessel Utilization Scheme; and
2.3 Inform the Industry Stakeholders about the procedure for the categorization of marine vessels;
as well as the benefits/ advantages of the Utilization Scheme to all concerned.
3.0 METHODOLOGY
3.1 A key component of the Marine Vessel Utilization Scheme is the Categorization of marine
vessel providers (vendors) according to ownership status and where a vessel is built.
3.2 A three- stage process has been designed to receive and evaluate vessel records submitted to
the Board; determine ownership profile of marine vessels, identify vessels constructed in
Nigerian yards and evaluate Nigerians with genuine commitments to own marine vessels. The
process also pre-qualifies and classifies marine vendors on the basis of which they will be
engaged by industry.
3.3 Ultimately, vessels built in Nigeria and Nigerian companies that own vessels or have taken
concrete steps to own vessels are well positioned to be given first consideration in award of
marine vessel contracts by the Industry. In this way, Nigerian companies that do not
currently own vessels will be encouraged to take concrete steps to own vessels or build new
vessels in Nigeria, knowing that such investments translate to fair and first consideration for
marine vessel work in the Oil and Gas Industry.
(2) Categorization of (3) Selection of pre-

Stage (1)Data
Upload vessel owners/vessels qualified marine
providers in tenders
Mandatory upload of Evaluation of uploads Engagement of
vessel documents and and Categorization of indigenously owned
vessel specifications on vessel providers vessels in oil and gas
to the NOGICJQS Operations
By MARINE VESSEL BY NCDMB By IOCs
OWNERS/IOCs
3

4.0 CATEGORIZATION FRAMEWORK
4.1 Categorization of marine vessels is based on NCDMBs classification of marine vessels used for oil and gas operations, as depicted in
the table below.
Vessel Category Typical Vessel Types

Legend
CATEGORY 1 (Non CREW BOAT (CWB), SECURITY VESSEL (SCV), DIVING SUPPORT VESSELS
Dynamically Positioned- DP) (DSV), FAST SUPPLY INTERVENTION VESSEL (FSIV), SUPPLY VESSELS (SPV), MOORING LAUNCH
VESSELS (MLV), SHALLOW DRAFT VESSELS (SDV),
CATEGORY 2 (DP) ACCOMMODATION VESSEL (ACCV), PLATFORM SUPPLY VESSEL (PSV,
ANCHOR HANDLING TUG VESSEL (AHTV), TUG BOAT (TUGB), MULTI- PURPOSE VESSEL
(MTPV), PIPE LAY BARGES (PLB)
CATEGORY 3 (short term INSTALLATION BARGES (INSV), JACKUP BARGES (JUB), LIFT BOATS (LFB),
vessels ) SEISMIC ACQUISITION VESSELS (SAV),
Category 1 vessels are essentially non-DP of these types of vessels. Where these types are DP enabled, they fall into Category 2.
There are 5 categories of marine vessel providers as depicted in the table below. The three (3) Key drivers for categorization are
ownership of vessel by a Nigerian entity, construction of vessel in Nigeria and Nigerian manning of vessel.
Service Company Description Sub-Description

Categorization Legend
CLASS AAA Classification for Nigerian built vessel and

flagged vessel
CATEGORY A Nigerian company having marine asset AA Evidence of ownership of category 2

ownership status as defined in vessel ownership (DP) and/or category 3 vessels
requirement criteria i.e. vessel documents bear the
name of the Nigerian company, evidence of bill of A Evidence of ownership of category 1
sales, evidence of NIMASA certificate of registration (Non DP) vessels
etc.
Vessels built, delivered and flagged in

Nigeria and operated by Nigerians
Class AAA vessels and Category A (AA and A)

vendors are prequalified and shall be accorded first
consideration in tenders.
CATEGORY B Nigerian company that is into long term BB Nigerian lessee with plan to own
bare boat lease of foreign owned vessel wherein the Vessel
Nigerian company provides the manning for the B Nigerian lessee without plan to own
leased vessel. vessel but have a subsisting affiliation with
Basis of Categorization include financial, foreign vessel owners for bare boat charter
insurance and legal services requirements, evidence of
lease to own agreement, manning declaration etc.
Category BB and B respectively shall be accorded
next consideration in event that there are no Category
A (AA and A) vendors.
CATEGORY C New Entrants with evidence of plan to Not applicable, (N/A)

build a vessel and/or short term lessee of foreign-
owned vessels
CATEGORY D A foreign company operating in Nigeria Where vessels of the company are built and
with wholly owned foreign vessels and no lease flagged in Nigeria the vessels are classified as
arrangement with any Nigerian entity AAA.
CATEGORY E This category is for Nigerian/ Foreign Incomplete/ No documentation
Service Company Description Sub-Description

Categorization
Legend
Company that have not submitted
adequate documentation to enable
the Board place the company in the
appropriate category
5.0 Evaluation Criteria
5.1 The basis for categorization of marine vendors is the extent of their compliance with
the under listed requirements to the satisfaction of the Board.
S/N Requirement Documents to be uploaded Y

E N
S O SCORE VESSEL
1 Corporate Status Nigerian or foreign ( Forms
of the vessel CAC 2- Statement of Share
Capital and Return of
owner Allotment) and CAC7
Particulars of Persons who are
directors of the Company
2 Place of Builders Certificate

manufacture/ Nigerian flagged
build of vessel
or components
of vessel
3 Vessel ownership Bill of sales

Records Purchase receipt
Lloyds registration
Deed of ownership
Condition survey
certificate
Vessel photograph
NIMASA vessel
registration certificate
4 Financial services Letter from Nigerian Bank

confirming the following:
Company receivables
from marine vessel
transactions are
deposited in the bank
Loan for vessels
acquisition was raised
by or through the bank
5 Custom duty Customs assessment
Payment report
Customs duty receipt
6 Insurance Letter from Nigerian
Providers insurance
company confirming
placement of insurance
cover and payment of
premium
7 Legal services Letter from Nigerian legal

firm
confirming that they handle
all legal transactions
8 Maintenance Record of Vessel maintenance

History in
Nigeria in the last one year
9 Manning Manpower profile by job

declaration categories
Total score (100%)
6.0 REPORTING:
6.1 The final report describes the type of vessel owned by a vendor and category of the
vendor. This Categorisation pre-qualifies the vendor to proceed into the technical
evaluation stage of the contracting process. A typical sample report is shown below.
VESSEL COMPANY
CAT CATEGORY 2 CATEGORY 1 CLASS CATEGORIZAT
NAME 3 ION
S OF (NIGERIANDP
S/n COMP BUILT) STATUS REMARK
ANY /
VESSE OTHE
L R
ACCV PLB AHT PSV TUGB MTPV FS CW SP SC MLV SD DSV
V IV B V V V
1. Compa A
MV A X
2. Compa A
MV B X DP1
Foreign
owned,
Nigerian
3. Compa D Built
ny 3
MV C X AAA
Company 1 owns category 1 FSIV and is therefore a category A (A) company

Company 2 owns Category PSV DP1 Enabled and is therefore a category AA company
Company 3 is foreign owned and operates a Nigerian Built vessel and is therefore category D
but with AAA classified vessel
7.0 Marine Vessel Tender Guidelines

7.1 All vendors in category A and AA are prequalified to proceed to the technical stage
of the contracting process and shall be given first consideration by Operators and
stakeholders in all tenders for all types of vessels
7.2 Note: Category A and AA vendors are also prequalified to provide vessels that are not in
their current fleet.
7.3 All vessels classified as AAA a r e prequalified to proceed to the technical stage of the
contracting process and shall be given first consideration by Operators and stakeholders
in all tenders provided the AAA classified (Nigerian Built) vessel meets the specification
of the vessel requirement in the tender.
7.4 In the event that no Category A (i.e. AA and A) vendors or AAA classified vessels
submit bids for a particular tender, operators shall give next consideration to Category B
(i.e. BB and B) vendors.
9

7.5 Categories C, D and E vendors are not pre-qualified to participate in tenders for any type
of vessel.
7.6 At technical stage, where a prequalified vendor does not have a vessel with the required
specification in the tender, the vendor must show evidence of plans towards ownership of
the vessel presented for the tender or manufacture of the vessel in Nigeria such as:
a. Memorandum of Agreement (MOA) between bidder

and vessel seller/ shipyard
b. Letter of offer between vessel owner/ builder and
vendor
c. Contractual commitment to build vessel with a shipyard
d. Evidence of availability of finance to acquire the vessel from a
Nigerian financial institution
e. Evidence of at least 10% deposit on the vessel invoice etc.
7.7 These requirements must be presented during the technical

stage for evaluation by NCDMB as precondition to progress to
commercial stage.
8.0 ADVANTAGES
8.1 The NCDMB report on categorization of marine vessels providers will be published
quarterly.
8.2 The Marine Vessels Categorization Scheme provides the opportunity for service
providers/ vendor to attain higher categorization upon progression in ownership plan.
9.0 ENFORCEMENT AND CONSEQUENCES OF NON-COMPLIANCE
9.1 The failure, delay and/or refusal on the part of any operator, project promoter, contractor
or other stakeholder in the Industry to comply with and adhere to these Guidelines shall
attract sanction in accordance with the implementation and enforcement process
established by the Board and published in this Handbook.
9.2 In particular, any operator or stakeholder who provides or uploads any information or
material that is found false or misleading in any material particular or who fails to comply
with the procedure and/prescriptions specified herein shall be deemed to be in default of
the provisions of these Guidelines.
9.3 The Board shall first duly notify the operator or other Stakeholder concerned of the
identified default(s); and specify the step, action and/or remediation required to correct the
non-compliance. The necessary timeframe within which compliance must be achieved to
the satisfaction of the Board shall also be specified.
10
9.4 Where the Stakeholder fails to meet the directions given, the Board shall apply appropriate
sanction and in addition the defaulter shall be dropped from the bid process in order to
enforce compliance with the Act.
9.5 Also, Service providers/ vendors who fail to maintain their current ownership profile
on the NOGIC JQS o r w h o f a i l t o f u l f i l t h e i r commitments to acquire a vessel
would be downgraded to a lower category.
11
4.11 NIGERIAN CONTENT COMPLIANCE CERTIFICATE (NCCC)

Pursuant to Sections17- 27 of the Act
CONTENTS:
INTRODUCTION
OBJECTIVES
APPLICABILITY
DEFINITIONS
RESPONSIBILITIES
PROCEDURE
1. INTRODUCTION
1.1 The Nigerian Oil and Gas Industry Content Development Act 2010, the Act provides for the
development of Nigerian Content in the Nigerian Oil and Gas Industry, the Industry. The Act
also makes provision, among others, for Nigerian Content Plan, as well as the supervision,
coordination and implementation of Nigerian content.
1.2 The rationale behind this legislation is to use Nigerian Content as an economic engine for
national growth by promoting the development of local oil and gas capability, thereby providing
a better linkage of the Oil and Gas Industry to other sectors of the Nigerian economy.
1.3 The Nigerian Content concept seeks to achieve strategic value-creation in the Nigerian
economy, through the systematic development of capacity and capabilities with a mandatory
maximum utilization of Nigerian human, and material resources as well as services, in every
project, operation, activity or transaction within the Industry.
1.4 The Act creates the Nigerian Content Development and Monitoring Board the Board with a
mandate to
monitor the implementation of set Nigerian Content targets;
develop interventions to ensure that targets are met ; and
ensure that Government directives covering the local supplier services
industry are achieved.
1.5 Sections 17 to 27 of the Act make specific provisions governing the

bid process;
execution; and
management
of projects, contracts, subcontracts and purchase orders estimated by the operator to be in
excess of USD 1 million Dollars.
1.6 The Act provides that the procedures, processes and conditions stipulated in these provisions
shall be strictly adhered to by all operators, projects promoters, alliance partners and other
entities who wish to participate in projects of the size referred to in the said sections before
obtaining the approval of the Board for their execution.
1.7 In line with the provisions of Section 17 of the Act, and subject to satisfying the requirements
stipulated in Sections 17-22 to the satisfaction of the Board, an operator who does not comply
with the provisions of these Guidelines shall not be issued with a Nigerian Content Compliance
Certificate NCCC which is a pre-requisite and condition precedent for the execution of such
projects under the Act.
OBJECTIVES
2. The objectives of these Guidelines are to:-

a. set down the requirements, conditions and processes that must be fulfilled before the
Board issues the NCCC for the commencement of projects in excess of One million US
dollars, (USD 1m) ; as well as
b. provide guidance for the use of operators, contractors, subcontractors, alliance partners
and other stakeholders involved in projects of this size in the Industry on how to obtain
the NCCC.
3. APPLICABILITY
3.1 The Guidelines apply to Operators, contractors, project promoters, alliance partners and other
stakeholders in the Industry.
4. MODALITY/ RESPONSIBILITIES
4.1 Operator/ Stakeholder
4.1.1 30 days prior to the first day of each quarter, an operator or other relevant
stakeholder shall submit to the Board a list of all contracts, subcontracts and purchase
orders exceeding USD 1 Million, List which will be bided or executed in the upcoming
quarter.
4.1.2 For each contract, subcontract and purchase order, the Stakeholder shall submit with the
List, the following information, namely:
a. a description of the service or item to be contracted or purchased (material and

equipment specifications shall be provided upon request);
b. estimated value of contract, subcontract or purchase order;
c. the Invitation to Tender (ITT) issuance date, ITT closure date and award date; and
d. any other information requested by the Board for the purposes of implementing the
4.1.3 For each said project, the Stakeholder shall apply for the NCCC using the template
prescribed for the same, if any, by the Board.
4.1.4 Materials to be submitted in support of the application for the NCCC shall include the
following:
a. The name of the selected contractor or vendor;

b. A list of designated sub-contractors or sub-vendors;
c. Where applicable, a list of proposed sub-suppliers;
d. For construction or service contracts, the estimated Nigerian employment (in person
3
hours)
e. Contract or purchase order commencement and completion dates;
f. Award Notification Form signed by an appropriate official of the Operator; and
g. Statement of Award Rationale (evaluation of bids) showing the following; namely:
i. percentage difference in price between selected bidder and each
bid;
ii. a primary location of work associated with each bidder;
iii. estimates of Nigerian Content associated with the bid of each
bidder calculated in accordance with the definition of Nigerian
Content as provided by the Board; and
iv. other information relevant to the evaluation of bidders including
where applicable, a summary of the technical, commercial and
Nigerian Content aspects of the bid evaluations.
4.1.5 The above documents/materials are to be submitted with a Recommendation to Award;

RTA.
4.1.6 Every material submitted shall contain sufficient information that will enable the Board
to effectively assess the project.
4.1.7 The Stakeholder shall submit such other information as may be required by the Board
for its assessment.
4.2 The Board
4.2.1 The Board shall endorse the NCCC after notification from the Operator as well as
verification that:
a. The recommended contractor had complied with every Nigerian Content requirement
during the Commercial Evaluation;
b. The basis of Nigerian Content assessment for the contract award is consistent with the
Nigerian Content commitment of the contractor at the technical and commercial
phases of tendering;
5. SUMMARY of the PROCEDURE for Issuance of NCCC
5.1 The operator submits an application; namely, a Draft NCCC to the Board requesting for the issuance
of the NCCC;
5.2 The Draft NCCC is accompanied by the Operators RTA;
5.3 The Draft NCCC and RTA are reviewed by the Board against the NCDMB Commercial Report as
well as the Nigerian Content requirements;
5.4 The Board transmits its comments on the materials submitted to the Operator;
5.5 The Operator incorporates the comments of the Board into the Draft NCCC, as applicable;
5.6 The Operator transmits the revised NCCC, signed by the Chief Executive of the Operator, to the
NCDMB; and
5.7 Where satisfied that the NC requirements have been fully met, the Board endorses the NCCC for the
4
use of the Operator.
accordance with the implementation and enforcement process established by the Board and published
in this Handbook.
6.2 In particular, any operator or stakeholder who fails to adhere or comply with the procedure set down
herein or who fails, refuses or delays in complying with any directive of the Board as regards the
issuance of the NCCC, or who gives inadequate, false or misleading information in its application for
the NCCC shall be deemed to be in default of the Guideline.
6.3 The Board shall first duly notify the Operator or other stakeholder concerned of the identified
default(s); and specify the step, action and/or remediation required to correct the non-compliance. The
necessary timeframe within which compliance must be achieved to the satisfaction of the Board shall
also be specified.
6.4 Where the Operator or other Stakeholder fails to heed or comply with the directions given to it, the
Board shall in its discretion, impose the sanction deemed applicable in the circumstances in order to
enforce compliance with the Guideline and the Act. This may include a withdrawal/cancellation of the
NCCC issued.
Nigerian Content Development and Monitoring Board
NAME OF COMPANY: .
REGISTERED ADDRESS:
PERIOD OF SUBMISSION:
PROJECT TITLE / No.:
CLIENT:
PROJECT START DATE :
PROJECT END DATE :
AVERAGE TOTAL
Personnel As at Dec 2015 Jan-00 Feb-00 Mar-00 Apr-00 May-00 Jun-00 Jul-00 Aug-00 Sep-00 Oct-00 Nov-00 Dec-00
2016 AVERAGE
Expatriates
Permanent Personnel
Contract Personnel
Sub Total (Expatriates)
Nigerians
Permanent Personnel
Contract Personnel
Sub Total ( Nigerians)
Permanent Personnel
Contract Personnel
Total Personnel
Personnel (Others)-NCHCDI / LCC
TOTAL
Man-hours As at Dec 2015 Jan-00 Feb-00 Mar-00 Apr-00 May-00 Jun-00 Jul-00 Aug-00 Sep-00 Oct-00 Nov-00 Dec-00 TOTAL - 2015
PROJECT
Permanent Personnel
Contract Personnel
S/Total Expatriates
Permanent Personnel
Contract Personnel
Personnel (Others)
S/Total Nigerians
Permanent Personnel
Contract Personnel
Total Man-hours
TOTAL
Man-hours - Spend As at Dec 2015 Jan-00 Feb-00 Mar-00 Apr-00 May-00 Jun-00 Jul-00 Aug-00 Sep-00 Oct-00 Nov-00 Dec-00 TOTAL - 2015
PROJECT
Permanent Personnel
Contract Personnel
S/Total Expatriates
Permanent Personnel
Contract Personnel
Personnel (Others)
S/Total Nigerians
Permanent Personnel
Contract Personnel
Total Man-hours Spend
5/5/2016 Page 1 of 2
Nigerian Content Development and Monitoring Board
Total Man-hours Spend
% SUMARY
AVERAGE
AVERAGE
Description Jan-00 Jan-00 Feb-00 Mar-00 Apr-00 May-00 Jun-00 Jul-00 Aug-00 Sep-00 Oct-00 Nov-00 Dec-00 TOTAL
2015
PROJECT
Expatriates
Nigerian
Total Manpower
Expatriates
Nigerian
Total Man-hours
5/5/2016 Page 2 of 2
4.12 NIGERIAN CONTENT PLAN

Pursuant to Sections 7, 8, 9, 10, 12 and 13 of the Act
CONTENTS:
INTRODUCTION
OBJECTIVES
SCOPE
RESPONSIBILITIES
PROCEDURE
CORPORATE SOCIAL RESPONSIBILITY (CSR)
OTHER NIGERIAN CONTENT DEVELOPMENT INITIATIVE
1. INTRODUCTION
1.1 The NOGICD Act provides for adequate utilization o f i n -country resources,
Capacity and Capability, through a specified Nigerian Content Plan, N C P , t h a t leads
to utilization of Nigerian goods, services, equipment and labor in the Oil and Gas Industry.
1 . 2 S e c t i o n 7 of the Act provides that:
"In bidding for any license, permit or interest and before carrying out any
project in the Nigerian Oil and Gas industry, an Operator shall submit a Nigerian
Content Plan ("the Plan") to the Board demonstrating compliance with the Nigerian content
requirements of the Act"
2. OBJECTIVES
2.1 The objectives of these Guidelines a r e to provide:

a. guidance for t h e preparation of the Nigerian Content Plan, in order to ensure t h a t first
consideration i s given to Nigerian human, material, equipment and services in the operations and
execution of a l l projects in the Industry; and
b. the list of items required to be detailed in a standard Nigerian Content Plan.
3. SCOPE of THE NIGERIAN CONTENT PLAN
3 . 1 The a im of a Nigerian Content Plan is to ensure that all available resources in-country are
exhausted before engaging similar resources and facility from outside of Nigeria.
3.2 The scope of these Guidelines therefore c o v e r s :
a. Equity ownership;
b. Location of facility in-country;
c. Location of the Project Management and Procurement Decision Centre in the area of their operation;
d. Personnel Information;
e. Equipment ownership;
f. Capacity and Capability Development;

g. Personnel training and technology transfer;
h. List of subcontractors and the services they will be providing;
i. Community Social Responsibility; and

j. Other Nigerian Content Development innovation.
4. RESPONSIBILITIES
4.1 Submission of Plan
a. The IOCs, NOC, Independent Operators, and Project Promoters shall be responsible for submission of
Draft NC Plan to the Board.
b. The Contractors/Subcontractors shall be responsible for submission of Draft NC Plan to the IOC
4.2 Evaluation and Approval
The Board shall be responsible for the evaluation and approval of the Nigerian Content Plan.
5. PROCEDURE
5.1 EQUITY OWNERSHIP
5 . 1 . 1 Every N i g e r i a n Content Plan submitted shall detail with documentary evidence, the e q u i t y
ownership of the entity submitting the NC Plan.
5.1.2 Documentary evidence required shall include certified true copies of the Companys Certificate o f
I n c o r p o r a t i o n ; Form CAC 2 and CAC 7. The certificate and forms submitted shall be
readable and not defaced.
5.1.3 If there has been change of ownership of the entity, documentary evidence shall be provided to
confirm such changes, a s w e l l p r o v i d e d e t a i l s o f t h e c h a n g e s i nc l u d i n g amount of shares
that has been transferred between the parties.
5.2 LOCATION OF FACILITY IN-COUNTRY.

5 .2.1 Every Nigerian Content Plan submitted shall detail location of all facilities owned by the entity
submitting the NC Plan. The l i s t o f facilities shall include; Office(s), Workshop(s), Fabrication
Yards , Jetties, Laboratories, Warehouses, Testing facilities etc, as applicable.
5.2.2 The sizes and capacity of the facilities shall be detailed as dictated by the f e a t u r e s o f t h e
contract, a s w e l l a s the purpose for the submission of the NC plan.
5. 2.3. If several contracting entities are involved in the contract and m o r e t h a n o n e
l o c a t i o n shall be involved in the execution of the contract, details of all facilities that will be
involved in the execution of the contract shall be provided.
5.3 PROJECT MANAGEMENT AND PROCUREMENT CENTRE LOCATION

5 . 3 . 1 The location of t h e P r o j e c t Management and Procurement D e c i s i o n C e n t e r of the
entity submitting the NC Plan shall be d e t a i l e d in the Nigerian Content Plan.
5.3.2 For the NC Plan to be acceptable, the P r o j e c t Management Centre and Procurement
D e c i s i o n Centre shall be located in Nigeria. Either for C o m p a n i e s or Projects, location of
Management centre and Procurement centre out of Nigeria shall not be acceptable.
3

5.4 PERSONNEL INFORMATION.

5.4.1 The Nigerian Content Plan shall provide details on the personnel employed by the entity
submitting the NC Plan.
5.4.2 The personnel information shall follow the format shown in the table below.
NO. OF YEARS REMARKS

S/NoNAME NATIONALITY POSITION CADRE
IN ORG.
5.4.3 The Organogram for the company as well as project specific organogram shall be submitted
detailing names and positions held by individuals in the organization as well as the project
organogram.
5. 4. 4 Curriculum Vitae of key personnel in the organization a n d f o r the project shall be
submitted with the Nigerian Content plan.
5 . 4 . 5 In cases where expatriate personnel are involved in the operations of an operator or
contracting company, a minimum of two appropriately qualified understudying Nigerians shall be
indicated in the list of personnel, specifying the period of understudy.
5.4.6 T h e List of subcontractor personnel shall also be included in the NC Plan.
5.5 EQUIPMENT OWNERSHIP.

5.5.1The Nigerian Content Plan shall provide a detailed comprehensive list of all the equipment
owned/leased by the entity submitting the NC Plan.
5.5.2 The Act is explicit on the ownership of equipment to be deployed for operation of a
company or execution of a contract in Nigeria.
5.5. 3. The entity submitting the NC plan must provide evidence of ownership of at least f i f t y
p e r c e n t ( 50%) share of the equipment to be used in the project and not f i f t y p e r c e n t
( 5 0 % ) of all the equipment owned by the entity.
5.5.4 In the case of marine equipment like Vessels, Rigs, Dredgers, Lay barge, House boat,
Tugboats et cetera, the relevant d o c u m e n t a r y evidence o f p u r c h a s e shall be provided as well
as proof of payment of necessary Custom duties for all equipment listed.
5.5.5 All evidence of r e l e v a n t Nigerian Maritime Administration and Safety Agency (NIMASA)
documentation and registration shall be included for all marine equipment.
5.5.6 Details of the representative o f t h e Original Equipment Manufacturer (OEM) shall be provided
in the submission.
5.6 CAPACITY AND CAPABILITY DEVELOPMENT

5.6.1 The Nigerian Content Plan to be submitted shall detail capacity and capability available in the
establishment of the entity submitting the NC Plan.
5.6.2 The details shall include information on h u m a n , facility (capacity & capability), equipment
(capacity), software, hardware a n d o t h e r r e s o u r c e s a v a i l a b l e
5 .6 3 Adequate plans for capacity and capability development shall be included in the NC Plan
depending on the duration of the project.
5 . 6 . 4 Where capacity and capability gaps exist, such gap shall be detailed and plan to close such
gap with timeline shall be provided.
5.6.5 Documentary evidence of plans to close existing capacity and capability gaps shall be
provided for verification by the Board.
5.6.6 In the case of NC Plan submitted for a project, the timelines f o r gaps closure plan shall be
tied to t h e project schedule where practicable.
5.7 PERSONNEL TRAINING AND TECHNOLOGY TRANSFER.

5.7.1 P e r s o n n e l Training
a. Personnel training and technological transfer a r e important factors of the Nigerian Content Plan.
b. Accordingly, the NC plan shall provide details of the corporate training policy of the entity
submitting the NC Plan.
c . A training plan with personnel training matrix for all staff of the organization shall be
submitted. The training matrix shall show: Name of personnel, Personnel Category, Personnel status,
Course Title, Training Provider, Duration of Training, Certificate & Award, as well as Remarks
(Detailing competence to be gained).
5.7.2 The training plan shall also detail where applicable, programme for understudying personnel.
Such understudying plan shall detail the following: Position Understudied, Name of current holder of
the position, Name of personnel understudying the holder of the position, Duration for understudying,
Assessment programme, Remarks.
5.7.3 There shall also be provision for training of Nigerians as distinct from C o m p a n y
p e r s o n n e l . T e n p e r c e n t ( 10%) of project man-hours shall be allocated for training Nigerians as
provided in the Human Capital Development Guideline developed and published by the Board.
5.7.4 Safety training is a standard requirement and obligation to be provided to personnel by their
employer. A c c o r d i n g l y , s a f e t y t r a i n i n g s h a l l n o t be treated as one of the statutory
training and developmental plans covered by these Guidelines.
5 . 7 . 5 Technology transfer:
The Nigerian Content Plan shall detail programme for Technology transfer for the next three (3) years
minimum, where applicable.
5 . 7 . 6 The technology transfer programme shall include the following:
a. Technology to be transferred;
b. Owner of the technology;
c. Source country ;
d. Beneficiary department i n t h e O rganization;

e. Cost of technology transfer;
f. Capacity gap to be covered; a n d
g. .Remarks.
5.8 SUBCONTRACTS.
5.8.1 The Nigerian Content Plan shall detail e v e r y contract and subcontract that will emanate from the
operations and/or contracts of the entity submitting the NC Plan.
5 . 8 . 2 At all times, preference shall be given to Nigerian contractors/subcontractors for procurement
of services, equipment and materials for use in the Nigerian Oil and Gas Industry.
5.8.3 Full information about the scope, details, the respective obligations of every party involved in all
contracts connected with the project for which a Plan is being submitted; including the detailed timelines shall
be provided in the Plan.
5. 8. 4. In the case of subcontracting, a Binding Memorandum of Agreement (BMOA) shall be executed
between the parties involved, and submitted with the Plan.
5 . 8 . 5 T h e BMOA shall contain the following provisions, namely : the title of the Agreement; Date the
agreement is signed; the parties involved; effective date; scope; tenor; the conflict resolution mechanism
(which shall be by Alternative Dispute Resolution (ADR) processes); the Governing Law of the BMOA as
well as Governing Law of the ADR process which shall both be the law of the Federal Republic of Nigeria
and which shall be specifically so stated in the BMOA, as well as any other relevant information that has not
been specified herein.
6. CORPORATE SOCIAL RESPONSIBILITY (CSR)

6.1All programmes and activities w h i c h a r e relevant to the development of Nigerian Content and
which the entity submitting the Nigerian Content Plan had previously engaged in as its Corporate Social
Responsibility p r o j e c t shall be detailed i n t h e P l a n , with evidential proof of such activities.
6.2 The Value creation a c hi e ve d through such activities, which should be substantial, s h a l l be
outlined i n t h e Plan.
6

6.3 Every operator and other stakeholders shall submit in its NC Plan, the details, scope, as well as
timeframe for any other Nigerian Content Development initiative which the entity wishes to pursue
and/or execute for the consideration and input of the Board before embarking on its execution.
6.4 The list of activities involved, and the value to be added to Nigerian economy through
the execution of such initiative shall be specifically stated in the Plan.
7. Enforcement and Consequences of Non-Compliance

7.1The failure, delay and/or refusal on the part of any operator, project promoter, contractor or other
stakeholder in the Industry to comply with and adhere to these Guideline shall attract sanction in
this Handbook.
7.2 In particular, any operator or stakeholder who fails to adhere or comply with the procedure set forth in
these Guidelines for the preparation of its Nigerian Content Plan, or who fails, refuses or delays in the
preparation of its NC Plan, or gives inadequate, false or misleading information in its NC Plan shall be
deemed to be in default of provisions of these Guidelines.
7.3 The Board shall first duly notify the operator or other Stakeholder concerned of the identified
default(s); and specify the step, action and/or remediation required to correct the non-compliance. The
necessary timeframe within which compliance must be achieved to the satisfaction of the Board shall also
be specified.
7.4 Where the operator or other Stakeholder fails to heed or comply with the directions given to it, the
Board shall in its discretion, impose the sanction deemed applicable in the circumstances in order to
enforce compliance with the Act.
PROJECTS PRESENTATION
*List of Projects/Contracts to be
Presented*
1
SERVICES CONTRACTS PRESENTATION:
(Well & Drilling, Catering, Maintenance, Engineering,

Marine Operations, IT, etc)
*Note: Presentation on each Services Contract shall

follow the format highlighted in the following slides
9-21
2
PROJECT/CONTRACT TITLE:-
GENERAL OVERVIEW
CONTRACTOR NAME, LOCATION AND ADDRESS
Company Equity (%Nigerian vs %Foreign)
Project/Contract Award Date
Project/Contract Start Date
Project/Contract Completion Date
Applicable NC Approval date (Pre-NOGICD ACT or

Post-NOGICD ACT)
Total Project/Contract Cost
Total Project NC Cost
3
GENERAL OVERVIEW CONTD
Total Project Spend to date
NC Spend to date
Description of Project Scope
Description of Project NC Scope
Project Scope Completed to date
NC Project Scope Completed to date
NCDF 1% Remittance & Date:
4
PROJECT/CONTRACT ORGANOGRAM
* Insert Project Organogram (Operator/Client &

Contractor) showing distribution of Expatriates
and Nigerians at all levels (Management & Non-
Management )*
5
EXPATRIATE QUOTA APPROVALS
* Insert Evidence of Expatriate Quota

Approvals for Company and Sub-contractor
Expatriates*
6
CONTRACT ACTIVITES BREAKDOWN
PLAN ACTUAL
Relative
Contract Value Project Total NC
Main Scope of Work Weight on the Contract Value NC Value NC% NC Contract Value Expended
Expended Progress %
project
%
US$ US$ % US$ % US$ US$
Project Management 22.7% 13,000,000.00 7,000,000.00 53.8 6,500,000.00 50% 2,200,000.00 33.8
Mobilization
Engineering
Load Out/ Transportation
Installation
Procurement
Commissioning
*include activities as may be

applicable
*Note: present status according to the main/critical items, proportion to overall project physical
progress
7
Nigerian Content Compliance Certificate (NCCC)

*each activity shall be reported as per the approved NCCC
Description of
NC Values ($ or N) Comment/Description NC values spent by
Activity NC Values spent NC values spent NC Scope
previous reporting
S/N for period under to date ($ or N) Achieved to
cycle
review Date (%)
(As stated on
(As stated on NCCC) (As stated on NCCC)
NCCC)
1
Engineering
2
Procurement
3
Materials
4
OCTG/Pipes
5
Fabrication
6 Equipment/Tools/V
essels
7
Construction
8
Installation
9
Personnel
10
Others (specify)
11
Others (specify)
12
Others (specify)
TOTAL SUM:
8
PERSONNEL
NC Performance
Personnel Man-Hours Performance
Planned Contract Planned NC Man- Total Contract Total Contract NC Performance (%)
Man-Hours Hours MH Utilized to NC MH Utilized
Date to Date
Personnel Expenditure Performance:
Budgeted Budgeted Total Spend to Total Spend to NC Performance (%)

Personnel Cost Personnel NC Date on Date on NC
(USD) Cost (USD) Personnel Personnel
9
EQUIPMENT DEPLOYED
NC Performance
Equipment Details
Equipment Name Type/Spec % Nigerian Equity % Foreign Equity
Equipment Expenditure
Budgeted Cost Budgeted NC Cost Total Spend to Total Spend to NC Performance (%)
(USD) (USD) Date Date
10
PROCUREMENT
Procurement Spend Performance
Total Procurement Total Procurement NC Total Project Spend to NC Spend to date

Project Cost Cost date
11
PROCUREMENT
Sources of Items
Quantity
(number, NC Cost Supplier/Ven Supplier/Ven
S/N Description of Items Cost (USD)
tonnage, (USD) dor dor's Location Manufactured Assembled in- Modified in-
lenght etc) In-country country country
(Yes or No) (Yes or No) (Yes or No)
12
AUXILIARY/SUPPORT SERVICES
Types of Service Sub-Contractor Total Spend NC Spend
13
NC TRAINING
Performance
Total number of trainees:
Approved NC Training Budget Cost:
Training Man-Hours Performance
Planned Training MH Training MH Performed Performance (%)
Types of Training, Cost and Duration
Training No. of Training Training Cost (USD) Start Date End Date
Type/Activi Trainees Company Location
ty
14
EMPLOYMENT
*to be completed by company/subcontractor
TOTAL EMPLOYEES AS AT PEAK EMPLOYMENT ATTAINED ON CURRENT TOTAL EMPLOYEES
PROJECT INCEPTION THE PROJECT
Foreign Nigerian Foreign Nigerian Foreign Nigerian

P C O P C O P C O P C O P C O P C O
Company
Personnel:
Contractor
Personnel
Total
KEY:
P = Permanent Employees
C = Contract Employees
O = Others (exchange , growth program etc)
15
ADDITIONAL INFORMATION
16
TITLE PAGE SERVICES

CONTRACTS
PRESENTATION
1
OUTLINE OF PRESENTATION
1. Company Expatriate Quota Approvals

2. Company Employment
3. Company NCD Department Activities
4. List of projects/contracts to be presented
5. Services Contracts Presentation Templates (Slides 9 21 to be
repeated for each services contract)
2
* Insert Evidence of Expatriate Quota Approvals

for Company Expatriates *
3
COMPANY EMPLOYMENT
*to be completed by Company
TOTAL EMPLOYEES AS AT PEAK EMPLOYMENT ATTAINED CURRENT TOTAL EMPLOYEES
BEGINNING OF YEAR
(JANUARY)
KEY:
4
Company NCD Department

Activities
5
Overview of Activities
Type of NCD Department Action Status
Activity
6
*List of Projects/Contracts to be
Presented*
7
SERVICES CONTRACTS PRESENTATION:
(Well & Drilling, Catering, Maintenance, Engineering,

Marine Operations, IT, etc)
*Note: Presentation on each Services Contract shall

follow the format highlighted in the following slides
9-21
8
GENERAL OVERVIEW
Description of Contract
Client
Contract Award Date
Contract Start Date
Contract Completion Date

Post-NOGICD ACT)
9
Total Contract Value (USD/Naira)
Total Contract NC Value (USD/Naira)
Total Contract Spend to date (USD/Naira)
Total NC Spend to date (USD/Naira)
10
* Insert Project Organogram (Operator/Client &

Management )*
11

Approvals for Company and Sub-contractor
Expatriates*
12
CONTRACT ACTIVITES BREAKDOWN
PLAN ACTUAL
Relative
Expended Progress %
project
%
US$ US$ % US$ % US$ US$
Project Management 22.7% 13,000,000.00 7,000,000.00 53.8 6,500,000.00 50% 2,200,000.00 33.8
Mobilization
Engineering
Installation
Procurement
Commissioning
*include activities as may be

applicable
*Note: present status according to the main/critical items, proportion to overall project physical
13
progress

Description of
previous reporting
cycle
review Date (%)
(As stated on
NCCC)
1
Engineering
2
Procurement
3
Materials
4
OCTG/Pipes
5
Fabrication
6 Equipment/Tools/V
essels
7
Construction
8
Installation
9
Personnel
10
Others (specify)
11
Others (specify)
12
Others (specify)
14
TOTAL SUM:
PERSONNEL
NC Performance
Personnel Man-Hours Performance
Planned Contract Planned NC Man- Total Contract Total Contract NC Performance (%)
Man-Hours Hours MH Utilized to NC MH Utilized
Date to Date
Personnel Expenditure Performance:
Budgeted Budgeted Total Spend to Total Spend to NC Performance (%)

Personnel Cost Personnel NC Date on Date on NC
(USD) Cost (USD) Personnel Personnel
15
EQUIPMENT DEPLOYED
NC Performance
Equipment Details
Equipment Name Type/Spec % Nigerian Equity % Foreign Equity
Equipment Expenditure
Budgeted Cost Budgeted NC Cost Total Spend to Total Spend to NC Performance (%)
(USD) (USD) Date Date
16
PROCUREMENT
Total Procurement Total Procurement NC Total Project Spend to NC Spend to date

Project Cost Cost date
17
PROCUREMENT
Sources of Items
Quantity
18
AUXILIARY/SUPPORT SERVICES
Types of Service Sub-Contractor Total Spend NC Spend
19
NC TRAINING
Performance
Approved NC Training Budget Cost:
ty
20
EMPLOYMENT
*to be completed by company/subcontractor

Company
Personnel:
Sub-
contractor
Personnel
Total
KEY:
21
22
TITLE PAGE
1
*List of Projects to be Presented*
2
PRESENTATION
*Note: Presentation on each Project Package shall

follow the format in the following slides (Slides 05 -
20 )
3
GENERAL OVERVIEW
CONTRACTOR NAME, LOCATION AND ADDRESS
Company Equity (%Nigerian vs %Foreign)
Project/Contract Award Date
Project/Contract Start Date
Project/Contract Completion Date

Post-NOGICD ACT)
Total Project/Contract Cost
Total Project NC Cost
4
Total Project Spend to date
NC Spend to date
Description of Project Scope
Description of Project NC Scope
Project Scope Completed to date
NC Project Scope Completed to date
5
PROJECT ACTIVITES BREAKDOWN

PLAN ACTUAL
Relative
Expended Progress %
project
%
US$ US$ % US$ US$ US$ US$
Project Management 22.7% 13000000.00 7,000,000.00 53.8 6500000.00 89% 2,200,000.00 33.8
Engineering
Fabrication/Construction
Installation
Procurement
Commissioning
*include all other activities as

may be applicable
*Note: present status according to the main/critical items, proportion to overall

project physical progress
6
* Insert Project Organogram (Operator &

Management )*
7

Approvals for Contractor Expatriates *
8

Description of
previous reporting
cycle
review Date (%)
(As stated on
NCCC)
1
Engineering
2
Procurement
3
Materials
4
OCTG/Pipes
5
Fabrication
6 Equipment/Tools/V
essels
7
Construction
8
Installation
9
Personnel
10
Others (specify)
11
Others (specify)
12
Others (specify)
TOTAL SUM:
9
ENGINEERING
Name of Contractor & Sub- Company Equity Location and Address
Contractor (% Nigerian vs % Foreign)
Performance
Scope and Performance
Description of Project Scope Description of NC Scope Description of NC
Achieved to date
Engineering Man-Hours Performance

Total Project NC Scope Total Project In-Country MH Utilized NC Performance
Man-Hours Man-Hours MH utilized (%)
- - - Expatriate Nigerian MH
MH
Engineering Spend Performance

Total Project Total NC Total Project In-country Spend to date NC
Engineering Cost Engineering Eng. Spend Performance
(USD) Cost to date (%)
- - - Expatriate Nigerian -
10
ENGINEERING CONTD
Performance
Total Man-Hours for Project Management
Total Project NC Scope Total In-Country MH NC

Man-Hours Man-Hours Project MH Utilized Performance
utilized (%)
MH
11
FABRICATION AND CONSTRUCTION

Name of Contractor & Sub- Company Equity Location and Address
Contractor (% Nigerian vs % Foreign)
Performance
Scope and Performance
Description of Description of NC Project Scope NC Scope achieved

Project Scope Scope achieved to date to date
Total man-hours Performance fabrication/construction
Total Project NC Scope Total Project NC MH Location of NC

(Man-Hours) (Man-Hours) `MH utilized (Nigerian MH Fabrication/Cons Performance
truction Yard
utilized ) (%)
12
FABRICATION AND CONSTRUCTION CONTD
Total Tonnage Performance fabrication/construction
Total Project NC Scope Total Project NC Tonnage Location of NC

Tonnage Tonnage Tonnage Completed Fabrication/Cons Performance
truction Yard
Completed (%)
Total Spend Performance fabrication/construction
Total Project NC Scope Total project NC Spend to Location of NC

Cost Cost Spend to date Fabrication/Cons Performance
truction Yard
date (%)
13
PROCUREMENT
Total Total Procurement Total Project NC Spend to date Actual NC Spend

Procurement NC Cost Spend to date (items o be
Project Cost sourced in-
country)
Procurement Man-Hours
Total Project NC Scope Total In-Country MH NC

Man-Hours Man-Hours Project MH Utilized Performance
utilized (%)
MH
14
PROCUREMENT
Sources of Items
Quantity
15
TRAINING
Performance
Total Project Man-hours:
Total Project NC Man-hours:
Approved Training Budget Cost:

ty
16
EMPLOYMENT
*to be completed by contractor

Contractor
Personnel:
Operator
Personnel
Total
KEY:
17
18
Operator Pending Issues with NCDMB
S/N Title and Date Brief Description Current Status
19
4.13 NIGERIAN OIL AND GAS INDUSTRY CONTENT JOINT

QUALIFICATION SYSTEM (NOGIC JQS)
Pursuant to Sections 55 and 56 of the Act
CONTENTS:
INTRODUCTION
REGISTRATION ON NOGIC JQS PLATFORM
PURPOSE and OBJECTIVES
APPLICABILITY
RESPONSIBILITIES
PROCEDURE
1. INTRODUCTION
1.1 Section 55 of the Act mandates the Board to establish, maintain and operate a Joint Qualification System
(JQS) hereafter referred to as NOGIC JQS in consultation with industry stakeholders which shall
constitute an Industry Databank of available capabilities.
1.2 Pursuant to Section 56, the NOGIC JQS shall be used for:
a. sole System for Nigerian content registration and pre-qualification of contractors in the
Industry;
b. verification of contractors capacities and capabilities;
c. evaluation of application of Nigerian Content in the operations of Oil companies and
contractors;
d. database for national skills development pool; and
e. ranking and categorization of Service Companies based on capabilities and Nigerian
Content.
1.3 The NOGICD JQS shall be administered in accordance with these Guidelines; and shall be subject to
updating as a result of the following:
a. changes in policies and activities in the Oil and Gas Industry;

b. Recommendations approved by the Board from stakeholders on best practices in the Oil and Gas
Industry; and
c. Changes in the usage terms and conditions stipulated by the Board.
1.4 Updates to the usage terms and conditions shall be made available on the NOGIC JQS portal; and
appropriate notification of all changes made to the NOGIC JQS will be sent to all users.
2. OBJECTIVE
2.1 The objective of these Guidelines is to p r e s c r i b e t h e t e r m s a n d c o n d i t i o n s g o v e r n i n g
the usage of the NOGIC JQS.
3. APPLICABILITY
3.1 The Guidelines apply to all Operators and Service companies carrying on business in the Nigerian
Oil and Gas Industry.
3.2 The NOGIC JQS platform is applicable for the implementation of the following key objectives of
the Board as mandated under the Act, namely:
a. Registration and pre-qualification of Contractors in the Nigerian Oil and Gas Industry;
b. Marine Vessel Registration and Categorization;
c. Categorization of marine service vendors;
d. Nigerian Content Equipment Certificate Application & management;
e. Expatriate Quota Application and Management;
f. Tenders Management; and
g. Management of HCD and Capacity Building Initiatives in the Industry.
2
3.3 The NOGIC JQS platform shall be the:
a. Data bank of Nigerians for talent sourcing in the Industry

b. information platform on capacities and capabilities In-country
c. platform for obtaining procurement plan of the Operators
d. platform for the Conduct of Tendering process for the Industry
e. platform for Marine Vessel Categorization
f. registration platform for all Individuals, Service Companies (Contractors), Marginal Field
Operators, Operators (International Oil Companies), National Oil Company (NOC), OEM
companies in the Nigerian Oil and Gas Industry
g. Platform for the submission of EQ documents
4. REGISTRATION ON NOGIC JQS PLATFORM
4.1 The NOGIC JQS Portal registration and verification process is an important stage in the pre-
qualification and categorization of stakeholders in the Nigerian Oil and Gas Industry. These Guidelines
provides the guidance for the usage of the NOGIC JQS platform.
4.2 Definitions
A. USER: A User can be:
i) An individual;
ii) An Operator;
iii) A Service Company;
iv) National; or
v.) Marginal Field Operator.
B. REGISTERED USER is a User that has provided the statutory documents to the NOGIC JQS for
registration as provided in C below.
C. ACTIVE USER is a registered user that has completed the entire appropriate online questionnaire
and, who remains active on the portal by complying with the periodical updates as specified in these
Guidelines.
D. VERIFIED USER is a user whose information on the NOGIC JQS Portal has been verified by the
Board. Only verified users shall be considered for the following:
a. Nigerian Content Registration and pre-qualification of contractors in the Industry.

b. Verification of capacities and capabilities.
c. Evaluation of application of Nigerian Content in the operations of Oil Companies and Contractors.
d. Database for national skills development pools.
3
4.3 Registration is Compulsory:
a. Registration on the NOGIC JQS Portal is compulsory for all companies carrying on or
wishing to carry on businesses in the Nigerian Oil and Gas Industry.
b. Registration of all categories of company staff on the NOGICJQS is compulsory and where a
company has uploaded its staff list, it is mandatory for each staff whose name is on the staff
list to log into his individual account and complete the entire appropriate online questionnaire.
c. Companies whose staffs fail to update their respective individual accounts shall be tagged as
inactive.
4.4 Registration Requirements
4.4.1 To register on the NOGIC JQS, a User has to provide the following information:
A. INDIVIDUAL: submission of BIODATA on the NOGIC JQS Portal.
B. OPERATOR, NATIONAL, or MARGINAL FIELD OPERATOR: Joint Venture Agreement,

Registration documents filed with the C.A.C including Forms CAC 2 and CAC7, as well as
documents evidencing the Oil and Gas Operations undertaken.
C. SERVICE COMPANY: Forms CAC 2, CAC 7; and D.P.R permit.
4.4.2 The procedure for registering on the NOGIC JQS is attached to these Guidelines as Appendix 1
4. 4.3 registered users shall complete the entire appropriate online questionnaire within 12 months; failing
which they shall be de-activated.
4.4.4 Confirmation of Uploads should be done on support@nogicjqs.com, and /or +234(0) 8107489889,
+234(0)8107489888.
4.4.5 Upon the publication of these Guidelines, NOGIC JQS registration shall be a NC requirement in the
tendering process for projects/ contracts as well as provision of services in the Industry.
4.5.1 NOGIC JQS ID Generation

a. The NOGIC JQS ID is a central feature of the registration process which uniquely identifies all
Expatriates and Nigerians that are currently working or who have a contract in the Nigerian Oil and Gas
Industry.
b. This identification is critical for the creation of NOGIC JQS Portal Accounts and also to assign
authorized users of the application to the said Accounts.
4.5.2 The following steps shall be used to create a NOGIC ID number:
a. Launch the NOGIC JQS Portal via portal.nogicjqs.com

b. Click on the "SIGN UP" button to create an Individual Portal Account
c. Log into the Individual Portal Account
d. Upload personal information on the following work-spaces:
Basic Data
Educational Profile
Certification
Job Experience
Skills Profile
Oil and Gas Recruits
Click on My Portal Account to view the NOGIC JQS ID created.
5. STATUTORY SUBMISSIONS TO THE BOARD
5.1 The NOGIC JQS shall be the primary medium for the submission of the under-listed materials
to the Board;
a. Staff list (Nigerian & Expatriates).
b. Financial Service Plan.
c. Legal Service Plan.
d. Technology Transfer Plan.
e. Insurance Plan.
f. Tender documents.
g. Research and Development plan.
h. Employment and Training report.
i. Expatriate Quota approval and Succession Plan.
j. Quarterly Procurement report.
k. Service Gap notification in the Oil and Gas Industry.
l. Company profile information (Contact details, Equipment capacity, Raw material,
Facility, Original equipment manufacturer, Service executed, et cetera.).
m. Application for Nigerian Content Equipment Certificate to the Board.
5.2 Submission of the above-listed documents via any other medium shall not be valid unless otherwise
advised or directed by the Board.
6. NOGIC JQS PLATFORM SECURITY
6.1 The under-listed are some of the measures put in place to ensure that all data expected for processing are
received and processed completely, accurately and in a timely manner, and all outputs are delivered in
accordance with the best business requirements:
a. Validation checks are incorporated into systems to detect corruption through processing error
or deliberate acts.
b. Applications shall have routines to detect data corrupted by processing errors or deliberate
acts.
c. Templates are designed and implemented with global practice standards observed.
d. Encryption procedures are implemented on data exchange.
7. INTELLECTUAL PROPERTY
7.1 The Board fully respects the intellectual property of other parties. Users of the Portal and other
stakeholders shall maintain the secrecy and confidentiality of intellectual property.
8. GENERAL DISCLAIMER / PRIVACY POLICY

8.1 The information, data, designs, graphics, compilations, magnetic translation, digital conversion and
other matters published in the NOGIC JQS Portal including any attachments are strictly confidential.
8.2 The Board is committed to protecting the privacy of its Portal Users, and preventing unauthorized use
of information submitted to it.
8.3 The Board does not authorize any person to sell, trade, rent, and otherwise distribute any submitted
information to others.
this Handbook.
9.2 Any operator or stakeholder to whom these Guidelines applies shall ensure strict compliance with the
procedures specified herein; failing which the operator/stakeholder shall be deemed to be in default of
its provisions. . To ensure effective implementation as well as enforcement of the provisions of the Act,
the Board shall in its discretion, impose such sanction deemed applicable where anyone to whom the
Guideline applies persists in non-compliance with the notified default(s).
9.3 The Board shall first duly notify the said Operator or other stakeholder concerned of any identified
default(s); and specify the step, action and/or remediation required to correct the non-compliance;
Board.
9.4 In particular, failure to submit , upload or complete all required information and material as required in
the Guideline, or the submission of false, incomplete, inaccurate or misleading information shall attract
sanction and the defaulter shall not be able to access the necessary information, approval or support
from the Board until compliance is achieved.
APPENDIX
PROCEDURE FOR REGISTRATION
1. Individual Registration
a. On portal.nogicjqs.com
b. Click on the "SIGN UP" button to create an Individual Portal Account
c. Log in to the Individual Portal Account created , using personal account login credentials
d. Upload all personal information on the following work-spaces:
Basic Data (Upload of Personal Passport Inclusive - jpeg format)
Educational Profile (Upload of Educational Qualification Certificates Inclusive - jpeg
format)
Certification (Upload of Industry or Professional Certificates Inclusive - jpeg format)
Update of Job Experience
Update of Skills Profile
Update training undertaken every year
2. Service Company Registration
2.1 Service Companies shall
a. send an email to the NOGIC JQS Support via support@nogicjqs.com stating the following;
Company Name
full name of staff that will have access to the companys portal accounts
JQS ID of staff that will have access to the companys portal accounts
Username of staff that will have access to the companys portal accounts
The Portal accounts (Service Company Portal Account, Service Company Admin Portal Account or
Both) as the company may wish to assign to the staff.
2.2 Companies shall attach soft copies of the following documents to support@nogicjqs.com
a. Current DPR Certificate

b. Certificate of Companys Incorporation
c. Forms CAC 2 and CAC 7
3 Operators Registration
3.1 Operators (International Oil Companies) and Marginal Field Operators shall send an email to the NOGIC
JQS Support via support@nogicjqs.com stating the following;
a. Joint Venture Agreement

b. CAC Certificate of Incorporation
c. Forms CAC 2 and CAC 7
d. Evidence of Oil and Gas Operations undertaken as an Operator
5. PERIODIC STATUTORY REPORTS
S/N Section Description Period of Report

1 18 Job Forecast Quarterly
2 22 Contract Award Documents Per contract
3 24 Quarterly Procurement Report Quarterly
4 31 Expatriate Succession Plan Per Expatriate
5 38 Research & Development Plan Bi-annually
6 39 R&D Performance Report Quarterly
7 44 Technology Transfer Plan Annually
8 46 Technology Transfer Report Annually
9 49 Insurance Report Bi-Annually
10 51 Legal Services Report Bi-Annually
5. PERIODIC STATUTORY REPORTS
11 52 Financial Services Report Bi-Annually
12 60 NC Performance Report Annually & on contract basis
13 29 Employment & Training Plan Annually
14 29 Employment & Training Quarterly

Report
15 7 Nigerian Content Plan Prior to the commencement
of any project
16 17 List of contracts For all proposed projects
17 20 Pre-qualification Documents During pre-qualification

stage
18 21 Contract bidders List Prior to issuing an ITT
6. IMPLEMENTATION & ENFORCEMENT OF NIGERIAN CONTENT

REQUIREMENTS
CONTENTS:
INTRODUCTION
RATIONALES
ENFORCEMENT PROCESS
CATEGORIZATION OF INFRACTIONS AND SANCTIONS
APPLICATION FOR REVIEW
IMPLEMENTATION & ENFORCEMENT OF NIGERIAN CONTENT REQUIREMENTS
1. INTRODUCTION
1.1. These Guidelines present an overview of the steps and procedure which the Board has put in
place for the effective implementation of its enforcement functions under the NOGICD Act.
1.2. With the growing pressure of globalization, governments as well as captains of industry are
charged with the burden of finding ways to ensure that their regions maximally explore and
exploit local opportunities, as well as remain competitive globally.
1.3. Deriving from the extensive monitoring and supervision functions vested in the NCDMB in
respect of all activities in the Oil and Gas Industry, it is apparent that the necessary intendment of
the NOGICD Act is to achieve maximum compliance with Local Content requirements and
targets.
1.4. Consequently, with a clear understanding of the objectives of Government in promulgating the
Act, and adopting a corporate approach of pro-active compliance with its provisions; these
Guidelines and other policy directives issued therefrom are beneficial business strategies that
should be robustly employed by every Operator, including the National Oil Company, IOCs,
Contractors, alliance partners and all those engaged in any activity in the Oil and Gas Industry.
1.5. The provisions of Section 2 of the Act make it clear that all participants in the Industry must
consider Nigerian Content as an important element for their overall project development and
management philosophy for project execution.
1.6. The overall aims are to achieve for Nigeria, the development of local skills, technology transfer,
use of local manpower and local manufacturing and to stimulate on continuous basis, the
development of indigenous capabilities; which are critical national objectives.
2. RATIONALES FOR THE ENFORCEMENT PROCESS
2.1. The framework of the current enforcement regime takes into consideration the vision, objectives,
strategic goals and role of the NCDMB in the Industry.
2.2. The steps, procedures and other enforcement processes that the NCDMB has established and
published herein for implementing the Act are designed to provide incentives for compliance
with the Nigerian Content provisions of the Act; the Guidelines; Regulations; Public Notices as
well as Directives issued generally or specifically to operators and stakeholders in the Industry.
2.3. This enforcement regime accords with the statutory mandate of the Board which includes
motivating and ensuring that all stakeholders accord priority to complying with Nigerian Content
requirements.
2.4. The overall objective of the current implementation posture of the Board is to ensure that there is
a measurable and continuous growth of Nigerian Content in all oil and gas arrangements,
projects, operations, activities or transactions in the Nigerian oil and gas Industry;and that
Government directives covering the local supplier services industry are achieved.
2.5. The enforcement process is also tied directly into several performance measures that will form
the basis for tracking the progress and impact of the Guidelines in order to enable frequent stock
taking and re-evaluation of strategies and directives- an approach that is critical for managing and
regulating such a fast paced and changing Industry.
2.6. This Implementation and Enforcement process derive from the following provisions of the Act;
namely:
2.6.1. Section 4, which empowers the NCDMB to make procedure that will guide, monitor, coordinate
and implement the provisions of this Act;
2.6.2. Section 5, which provides that the Board shall implement the provisions of this Act with a view
to ensuring a measurable and continuous growth of Nigerian Content in all oil and gas
arrangements, projects, operations, activities or transactions in the Nigerian Oil and Gas
Industry;
2.6.3. Section 59, which provides that the Board shall undertake an effective monitoring of the
implementation of this Act; and
2.6.4. Sections 70, (i) (l) and (p) which mandate the Board respectively to:
a. i- Make procedures to guide the implementation of this Act and ensure

compliance with all the provisions of the Act;
b. l- provide guidelines, definitions and measurement of Nigerian Content

and Nigerian Content indicator to be utilized throughout the Industry;
and
c. p- do legally anything necessary to be done to facilitate the carrying out

of its functions
2.7. Accordingly, the Board has put the following Implementation and Enforcement process in place to
sensitize all stakeholders in the Industry that the failure, delay and/or refusal on the part of any
operator, project promoter, contractor or other stakeholder in the Industry to comply with or
adhere to the Guidelines or other policy directions given and/or issued by the Board shall attract
such sanction deemed appropriate by the Board.
3. ENFORCEMENT PROCESS
3.1. The procedure is that the Board shall first give NOTICE, in writing, to any Operator or other
stakeholder concerned, specifying any identified default(s); and the Board shall indicate the
corrective step, action and/or remediation required to address the non-compliance.
3.2. The specific time-frame(s) within which compliance must be achieved shall be stated in the
notification. Such remediation/ compliance shall be done to the satisfaction of the Board, as
provided in the Act.
3.3. Failure to comply shall attract the imposition by the Board, of such appropriate sanctions and/or
penalties as may be deemed applicable in the circumstances.
4. CATEGORIZATION OF INFRACTIONS, and SANCTIONS
4.1. Non-compliance, breach and/or refusal to comply with issued Guidelines and respective
applicable sanctions are as follows; namely:
4.2.1 Minor Infraction: includes first time defaults, inadvertence or deficits in meeting time
deadlines for periodic reports; and similar defaults.
4.2.2 Sanctions applicable to Minor Infractions:

a. Letter of Warning;
b. Invitation of Management Team of the Operator/ stakeholder for corrective dialogue

with the Board;
4.3.1 Serious Infraction: includes repeated or persistent defaults; and/or deliberate refusal to comply
with directives issued by the Board.
4.3.2 Sanctions applicable to Serious Infractions:
a. Name and shame of defaulting Operator/stakeholder with publicity within national

and international Oil and Gas communities;
b. Notification by NCDMB to other MDAs about the non-compliance of the

Operator/stakeholder with NC obligations, including request for the withdrawal of
tax privileges, and/or preventing the Operator/stakeholder from getting cost
recovery, where applicable;
c. Cancellation of Certificate of Authorization issued for the project under Section 8

of the Act;
d. Withdrawal of any approval given by the Board as required under the provisions
of Sections 17, 19 and 20 of the Act on Nigerian Content Compliance Certificate;
e. Classification of the act/conduct/infraction as Economic Sabotage; with reference

to the appropriate authority to apprehend the saboteur;
f. Refusal/ withdrawal of other privileges/support, and/or approvals required from the

Board until compliance is achieved; and
g. Disqualification from participation in other projects in the Oil and Gas Sector for
specified periods.
4.4.1 Chronic/Critical infraction: includes flagrant attempt to undermine/ circumvent the

implementation functions of the Board and deliberate refusal to comply with specific directives in
order to compromise the achievement of Nigerian Content requirements.
4.4.2 Sanctions applicable to Chronic/Critical Infractions
a. Entry into premises in collaboration with Law Enforcement Agencies and closing
down of operations;
b. Impounding and /or quarantining products or goods which constitute the infraction or
which are subject-matter of a default;
c. Directive to Cease and/or Desist specified activity (ies) until compliance is
achieved; and
d. Prosecution under the provisions of Section 68 of the Act.
5. The prerogative for categorization of infractions as well as the decision of the applicable
sanction to be applied shall be at the discretion of the Board.
APPLICATION FOR REVIEW

6. An operator, company or other stakeholder directly affected by any decision or sanction issued by the
Board shall be at liberty to apply to the office of the Executive Secretary for a review in accordance
with the rules and process established and published by the Board for the purpose in this Handbook.
7. REVIEW PROCEDURE
Initiation of Review Process
1. Within a maximum period of three (3) months after the issuance of any sanction or directive by
the Board in relation to any Nigerian Content compliance or requirement, any Operator,
Contractor, Alliance Partner or other stakeholder directly affected by the said sanction, penalty or
other directive, the Applicant shall be at liberty to apply to the office of the Executive
Secretary, ES for a review of the same.
2. The Application, which shall be in the format prescribed by the Board for the purpose, shall be
accompanied with a detailed statement, including relevant documents and / or materials,
demonstrating reasonable compliance steps that have been taken by the Applicant.
Establishment of NCDMB Review Committee
3. Upon the receipt of an application for review, the Executive Secretary shall constitute a 3-man
NCDMB Review Committee NRC to consider and review such applications. The NRC shall be
required to consider the reasons, explanations and/or justification proffered for the review and
make recommendations thereon to the Executive Secretary.
4. The ES shall prescribe the Terms of Reference of the NRC in the letter setting up the Committee,
specifying the membership, as well as time allowed for the work of the Committee.
5. Reviews Committees shall, where applicable, have power to mediate any dispute referred to the
ES, arising from the implementation of the Act, where such conflict or dispute arises between
Operators, Contractors and other stakeholders.
6. Reviews Committees shall be constituted on a needs basis at the discretion of the ES.
Composition of NRC
7. The Committee shall consist of a Chairman who shall be a Director of one of the Directorates
established for the Board under Section 88 of the Act; and 2 other members who shall be
appointed by the ES, who have relevant technical competence and experience in the subject of the
review required.
8. A Committee may consult with and use the services of a professional Consultant where the need
arises.
9. The Secretary to the NRC shall be appointed from the Directorate of Legal Services.
Terms of Reference
10. The Terms of Reference for the NRC shall be as follows; namely, to:
a. receive all relevant information, deliberate on the issues raised by the

Applicant; and
b. make appropriate recommendations to the ES.
11. The decision of the ES on the recommendations of the NRC shall be final.
Procedure
12. Proceedings of the NRC shall be held at the Headquarters of the Board or at such other sites as
deemed necessary by the Committee.
13. An Applicant shall appear for himself and may be accompanied by his Legal Practitioner. The
Applicant may request the attendance of any witness at the hearing of the application, with such
witness attending at the expense of the Applicant. The names and contact details of such witness (s)
shall be contained in the application to the ES.
14. Applications and all accompanying materials shall be in writing, in six (6) copies along with an
electronic version or as may be otherwise specified by the NRC. Each set of the Application shall be
complete in all respects.
15. Administrative/processing fees may be prescribed by the NRC, and where applicable, shall be
payable along with the Application.
16. The NRC shall establish a procedure for its review, and whilst it shall not be bound strictly by
judicial rules of evidence in the conduct of its proceedings, the Committee shall be guided by the
need to meet the justice of the matter, without compromising the rules of Natural Justice; and the
17. The NRC shall have the discretion to receive evidence from any local community, association or
other persons either at the request of the Applicant or suo motu.
18. Upon its constitution, the Committee shall write to the Applicant advising that his application has
been referred to a Review Committee, and communicate the hearing date, as well as other relevant
administrative issues, including the processing fees payable by the Applicant.
19. Where, on the date fixed for hearing or any other date to which such hearing may be re-scheduled,
an applicant or his authorized representative fails to attend without prior notice, the NRC may, in its
discretion strike out the Application.
20. Decisions of the NRC shall be construed as Recommendations, and shall be on the basis of simple
majority; provided however that in the event of an equality of votes, the Chairman shall have a casting
vote.
21.The decision of the NRC shall be in writing; and shall be dated and signed by all members. The
decision shall contain a brief statement of facts, the points or issues for determination,
recommendations thereon and the reasons for the recommendations.
22. Upon submission, it shall be the prerogative of the Executive Secretary to accept, reject or modify
any recommendation of the NRC.
23. The NRC may hold a public hearing on any matter under the Nigerian Oil and Gas Industry
Content Development Act which the NRC determines to be of significant interest to the issues to
be determined.
24. The NRC shall, as far as is reasonably practicable, notify all persons having an interest in the
matter to be reviewed and give them the opportunity to make representations if they so wish.
25. All representations shall be in writing, and shall be submitted as prescribed by the Committee on
the date so fixed by the NRC for such submissions. An applicant may make oral presentation of
his submission on the date fixed for the hearing by the Committee.
Mediation between stakeholders
26. Disputes between stakeholders on Nigerian Content or issues arising from the interpretation of the
Act or Guidelines may be referred to the ES, who shall refer the same to an NCDMB Review
Committee for recommendations.
27. Any Party may commence the mediation process by serving a Notice on the ES and the other party
to the dispute.
28. The NRC constituted for the purpose shall issue notices to the parties concerned to present a
statement of issues they wish the Committee to mediate upon.
29. The NRC shall be guided by the rules contained in the Arbitration and Conciliation Act, Cap 10,
Laws of the Federation, 2004.
30. The decisions reached by the agreement of the parties to the mediation shall be binding on them.
NIGERIAN OIL AND GAS INDUSTRY CONTENT

DEVELOPMENT ACT, 2010
ARRANGEMENT OF SECTIONS
SECTION:
PART I - NIGERIAN CONTENT DEVELOPMENT IN OIL AND GAS INDUSTRY

1. Application.
2. Nigerian content as management philosophy for project execution.
3. First consideration to be given to Nigerian operators.
4. Role of Nigerian Content Monitoring Board.
5. Promotion of measurable growth of Nigerian content.
6. Conformity of petroleum arrangements and other agreements
7. Submission of Nigerian content plan for all projects.
8. Certificate of Authorization.
9. Public review of Plan.
10. Contents of the Plan.
11. Minimum and specification of Nigerian content.
12. First consideration for Nigerian goods and services.
13. Content of the plan to contain details.
14. Nigerian content in bid Evaluation.
15. Full and fair opportunity for Nigerians.
16. Principal of bid Evaluation.
17. List of contracts to be submitted to the Board.
18. Submission of job forecasts, etc. to the Board.
19. Designation of contract for review.
20. Documents to be submitted to the Board during pre-qualification stage.
21. Documents to be submitted to the Board during bidders' list stage.
22. Documents to be submitted to the Board during award stage.
23. Designation and review of contracts.
24. Quarterly procurement report.
25. Establishment of Project Office.
26. Personnel for Local Office.
27. Office in community of operation.
28. First consideration for Employment and Training.
29. Submission of Employment and Training Plan.
30. Training of Nigerians.
2010 No. 2 Nigerian Oil and Gas Industry Content Development Act
31. Requirement for succession Plan.

32. Allowance for expatriate position.
33. Approval of Board for application for Expatriates.
34. Requirement for Labour Clause.
35. Compliance by the operators.
36. Research and development regulations.
37. Programme for research and development.
38. Submission and content of Rand D Plan.
39. Report on Rand D plan.
40. Regulations for Training.
41. Regulations for further growth of indigenous capacity.
42. Regulations for registration with Nigerian professional bodies.
43. Programme for Technology transfer plan.
44. Submission of Technology transfer plan.
45. Support of Technology Transfer.
46. Technology Transfer Report.
47. Regulation to establish operations in Nigeria.
48. Fiscal incentives.
49. Insurance and Reinsurance Business.
50. Approval for offshore Insurance.
51. Legal Services.
52. Financial Services.
53. Prohibition of Importation of welded products.
54. Petroleum e-market place.
55. Establishment of Joint Qualification System.
56. Functions of the Joint Qualification System.
57. Setting up of Nigerian Content Consultative Forum.
58. Composition of Nigerian Content Consultative Forum.
59. Powers of NCMB to monitor implementation of this Act.
60. Requirements for submission of Nigerian Content Performance Report.
61. Content of performance Report.
62. Assessment and Verification of performance report.
63. Directives to facilitate reporting.
64. Access to facilitate for assessment and verification purposes.
65. Requirements for third party access and reporting.
66. Responsibility to communicate Nigerian content policies to contractors.
67. Responsibility of the Board for enlightenment on Nigerian content.
68. Offences and Penalties.
PART II-ESTABLISHMENT OF THE NIGERIAN CONTENT MONITORING BOARD
,
69. Establishment of the Nigerian Content Monitoring Board.
70. Functions of the Board.
Nigerian Oil and Gas Industry Content Development Act 2010 No. 2
71. Establishment of the Governing Council of the Board.

72. Composition of Council.
73. Appointment of Chairman and membership of the Council.
74. Status of appointment of Executive Secretary.
75. Powers of the Council.
76. Tenure of office.
77. Cessation of membership of the Council.
78. Replacement of membership.
79. Removal of members.
80. Remuneration of members.
81. Appointment of Executive Secretary, his functions and tenure.
82. Remuneration of the Executive Secretary.
83. Cessation of office.
84. Resignation of appointment.
85. Other staff.
86. Direct appointment and secondment.
87. Transfer of service.
88. Directorates.
89. Service in the Board.
PART Ill-FINANCIAL PROVISIONS
90. Funds of the Board.

91. Budgetary and Estimates Report.
92. Gift to the Board.
93. Expenditure and Account.
94. Audit.
95. Acquisition of Land or interest in Land for Office use.
96. Legal Proceeding.
97. Indemnity of Officers.
98. Service of Documents.
99. Engagement of professionals and other Staff.
100. Powers of the Minister to give directive to the Board.
101. Regulations.
102. Review of the Schedule.
103. Savings and Transitional Provision.
104. Establishment of Nigerian Content Development Fund.
105. Enforcement of Compliance
106. Interpretation.
107. Citation.
SCHEDULE
NIGERIAN OIL AND GAS INDUSTRY CONTENT

DEVELOPMENT ACT
2010 Act No. 2

AN ACT TO PROVIDE FOR THE DEVELOPMENT OF NIGERIAN CONTENT IN THE NIGERIAN OIL
AND GAS INDUSTRY, NIGERIAN CONTENT PLAN, SUPERVISION, COORDINATION, MONITORING
AND IMPLEMENTATION OF NIGERIAN CONTENT; AND FOR RELATED MATTERS.
[22nd Day of April, 2010] Commence-

men.
ENACTED by the National Assembly of the Federal Republic of Nigeria-
PART I-NIGERIAN CONTENT DEVELOPMENT IN OIL AND GAS INDUSTRY
1. Notwithstanding anything to the contrary contained in the Petroleum

Act or in any other enactment or law, the provisions of this Act shall apply to Application
all matters pertaining to Nigerian content in respect of all operations or Cap. PlO,
transactions carried out in or connected with the Nigerian oil and gas industry. LFN 2004.
2. All regulatory authorities, operators, contractors, subcontractors,

alliance partners and other entities involved in any project, operation, activity Nigerian
or transaction in the Nigerian oil and gas industry shall consider Nigerian Content as
content as an important element of their overall project development and Management
Philosophy
management philosophy for project execution.
for Project
3.-(1) Nigerian independent operators shall be given first consideration Execution.
in the award of oil blocks, oil field licences, oil lifting licences and in all First
projects for which contract is to be awarded in the Nigerian oil and gas industry consideration
subject to the fulfilment of such conditions as may be specified by the to be given
Minister. to Nigerian
operators.
(2) There shall be exclusive consideration to Nigerian indigenous service
companies which demonstrate ownership of equipment, Nigerian personnel
and capacity to execute such work to bid on land and swamp operating areas
of the Nigerian oil and gas industry for contracts and services contained in
the Schedule to this Act.
Schedule.
(3) Compliance with the provisions of this Act and promotion of
Nigerian content development shall be a major criterion for award of licences,
permits and any other interest in bidding for Oil exploration, production,
transportation and development or any other operations in Nigerian Oil and
Gas industry.
4. The Nigerian Content Development and Monitoring Board ("the
"Board") established in accordance with this Act shall make procedure that
Role of will guide, monitor, coordinate and implement the provisions of this Act.
Nigerian
Content
Monitoring 5. The Board shall implement the provisions of this Act with a view to
Board. ensuring a measurable and continuous growth of Nigerian content in all oil
Promotion and gas arrangements, projects, operations, activities or transactions in the
of Nigerian oil and gas industry.
measurable
growth of
Nigerian 6. Upon the commencement of this Act, all subsequent oil and gas
content.
arrangements, agreements, contracts or memoranda of understanding relating
Conformity to any operation or transaction in the Nigerian oil and gas industry shall be in
of petroleum conformity with the provisions of this Act.
arrangements
and other
agreements. 7. In the bidding for any licence, permit or interest and before carrying
out any project in the Nigerian oil and gas industry, an operator shall submit
Submission
of Nigerian a Nigerian Content Plan ("the Plan") to the Board demonstrating compliance
content plan with the Nigerian content requirements of this Act.
for all
projects.
8. The Board shall review and assess the plan and, if satisfied that the
Certificate
of plan complies with the provisions of this Act, issue a Certificate of
Authorization Authorization ("the Certificate') to the operator for that project.
9. For the purposes of reviewing or assessing the plan, the Board may
conduct a public review in relation to the exercise of any of its functions
Public
review of under this Act provided that any such review or assessment is completed and
plan. certificate issued or denied within 30 days from the date of commencement
of such review or assessment.
10.-(1) A plan shall contain provisions intended to ensure that-
Content of (a) first consideration shall be given to services provided from within
Plan.
Nigeria and to goods manufactured in Nigeria; and
(b) Nigerians shall be given first consideration for training and
employment in the work programme for which the plan was submitted.
(2) Any collective agreement entered into by the operator, project
promoter or other body submitting the plan with any association of employees
respecting terms and conditions of employment in the project shall contain
provisions consistent with this section.
11. (1) As from the commencement of this Act, the minimum Nigerian
content in any project to be executed in the Nigerian oil and gas industry
shall be consistent with the level set in Schedule to this Act. Minimum
and
(2) Where a project description is not specified in the Schedule to this Specification
Act, the Board shall set the minimum content level for that project or project of Nigerian
content.
item pending the inclusion of the minimum content level for that project or
project item through an amendment of the Schedule to this Act by the National
Assembly.
(3) All operators, alliance partners and contractors shall comply with
the minimum Nigerian content for particular project item, service or product
specification set out in the schedule to this Act
(4) Notwithstanding the provisions of subsection (1) of this section,
where there is inadequate capacity to any of the targets in the Schedule to this
Act, the Minister may authorize the continued importation of the relevant Schedule
items and such approval by the Minister shall not exceed 3 years from the
commencement of this Act.
12. Subject to section 7 of this Act, the Nigerian Content Plan submitted
to the Board by an operator shall contain a detailed plan, satisfactory to the
Board, setting out how the operator and their contractors will give first First
consideration to Nigerian goods and services, including specific examples consideration
for Nigerian
showing how first consideration is considered and assessed by the operator goods and
in its evaluation of bids for goods and services required by the project. services.
13. The Nigerian content plan submitted to the Board by any operator
or alliance partner shall contain detailed plan on how the operator or its alliance
partner intend to ensure the use of locally manufactured goods where such Contents of
goods meet the specifications of the industry. the plan to
contain
14. All operators and project promoters shall consider Nigerian content details.
when evaluating any bid where the bids are within 1 % of each other at
commercial stage and the bid containing the highest level of Nigerian content Nigerian
shall be selected provided the Nigerian content in the selected bid is at least content in
5% higher than its closest competitor. bid
evaluation.
15. All operators and alliance partners shall maintain a bidding process
for acquiring goods and services which shall give full and fair opportunity to
Nigerian indigenous contractors and companies.
Full and fair
opportunity
16. The award of contract shall not be solely based on the principle of for
the lowest bidder where a Nigerian indigenous company has capacity to Nigerians
execute such job and the company shall not be disqualified exclusively on
Principle of
the basis that it is not the lowest financial bidder, provided the value does not bid
exceed the lowest bid price by 10 percent. evaluation
17.-(1) For all proposed projects, contracts, subcontracts and purchase

orders estimated by operator to be in excess of $1 ,000,000 (USD), the operator
List of shall provide to the Board for approval, advertisements, pre-qualification
contracts to
criteria, technical bid documents, technical evaluation criteria and the proposed
be submitted
to the Board.
bidders lists.
(2) The operator or project promoter shall submit sufficient information

with the notifications to enable the Board assess the subject matter and to be
satisfied that the requirements for Nigerian content have been complied with
by the operator or project promoter.
18. (1) The operators shall submit to the Board, 30 days prior to the first
day of each quarter, a list of all contracts, subcontracts and purchase orders
Submission exceeding $1,000,000 (USD) which will be bided or executed in the upcoming
of job quarter.
Forecasts,
e.t.c. to (2) For each contract, subcontract and purchase order, the list shall
Board, provide -
(a) a description of the service or item to be contracted or purchased
(material and equipment specifications shall be provided upon request) ;
(b) estimated value of contract, subcontract or purchase order;
(c) the Invitation To Tender (ITT) issuance date, ITT closure date and
award date; and
(d) any other information requested by the Board for the purposes of
implementing the provisions of this Act.
19. Subject to section 17 of this Act, the Board shall advise the operator,
by the first day of each quarter, which contracts and sub-contracts have been
Designation
designated by the Board for review and shall advise the operator of the outcome
of contract of such contract review.
for review.
20. Prior to issuing of adverts or pre-qualification notification to
prospective bidders, the operator or the project promoter shall submit to the
Document to Board the following for review and approval-
be submitted
(a) a description of the scope of work;
to the Board
during pre- (b) a copy of the pre-qualification notification, if these documents differ
qualification
from the standard pre-qualification notification previously reviewed by the
stage.
Board;
(c) a list of companies, indicating locations of head offices, to whom
questionnaires shall be issued ; and
(d) anticipated dates for closure of prequalification and commencement
of technical evaluation, issuance of an Invitation To Tender (ITT).
21. For the purposes of compiling a bidding list for any project, the Document to
operator, project promoter or alliance partner shall submit to the Board, prior be submitted
to issuing an Invitation To Tender (ITT)- to the Board
during
(a) a list of bidders; bidders' list
stage.
(b) acopy of the Invitation To Tender (ITT) (the Board shall advise the
operator of its requirements in this regard on a case by case basis) ;
(c) a description of corporate ownership (main shareholders by
percentage) of bidders;
. (d) location of any Nigerian based office, plant or facility;
(e) anticipated dates for closure of bids and award of contract or purchase
order; and
(f) any other information requested by the Board.
22. Prior to the award of contract, subcontract or purchase order to the Document to
be submitted
selected bidder, the operator shall submit to the Board-
to the Board
(a) the name of the selected contractor or vendor; during
award stage.
(b) a list of designated sub-contractors or sub-vendors;
(c) where applicable, a list of proposed sub-suppliers;
(d) for construction or service contracts ; the estimated Nigerian
employment (in person-hours) ;
(e) contractor purchase order commencement and completion dates;
(f) award Notification Form signed by an appropriate official of the
operator ; and
(g) statement of award rationale (evaluation of bids) showing-
(i) percentage difference in price between selected bidder and each
bid,
(ii) a primary location of work associated with each bidder,
(iii) estimates of Nigerian content associated with the bid of each
bidder calculated in accordance with the definition of Nigerian content
to be provided by the Board, and
(iv) other information relevant to the evaluation of bidders including
where applicable, a summary of the technical, commercial! and Nigerian
content aspects of the bid evaluations.
23. Upon assessment of the documentation received in compliance with Designation
section 19 of this Act, the Board shall advise the operator, within 10 days, and review
which contracts, subcontracts and purchase orders have been designated by of contracts.
the Board for review, and the designated contracts, subcontracts and purchase
orders shall be reviewed to the satisfaction of the Board.
24.-(1) The operator shall submit to the Board, within 30 days at the
Quarterly
end of each quarter, a listing of all contracts, subcontracts and purchase orders
Procurement
exceeding $1,000,000 (USD) or such other limit as the Board may determine,
report
awarded in the previous quarter.
(2) This listing shall provide-
(a) a list of all items and services;
(b) value of contract or purchase order;
(c) name of successful contractor or vendor;
(d) a primary location of work;
(e) estimates of Nigerian content;
(f) commencement and completion date; and
(g) any other information required by the Board for the purposes of
25. Where applicable, before carrying out any work or activity in Nigeria,
Establishment
of project the operator or other body submitting a plan shall establish in the Catchment
office. Area where the project is to be located, a project office where project
management and procurement decision making are to take place, to the
satisfaction of the board
Personnel 26. The operator shall locate, within the project office, personnel with
For Local
Office.
decision- making authority in accordance with a list of personnel to be approved
by the Board.
Office in 27. Subject to section 25 of this Act, the Board shall have powers to
community require any operator to maintain an office in a Community where the operator
of operation. has significant operations.
First 28.-(1) Subject to section 10(1)(b) of this Act, Nigerians shall be given
consideration the first consideration for employment and training in any project executed
for
by any operator or project promoter in the Nigerian oil and gas industry.
employment
and training (2) The Board shall ensure that the operator or project promoter
maintains a reasonable number of personnel from areas it has significant
operation.
Submission 29. The plan submitted by any operator or project promoter for any
of project shall contain an Employment and Training Plan (E and T Plan) which
employment shall include-
and training
(a) an outline of the-
plan.
(i) hiring and training needs of the operator or project promoter and
operator's major contractors with a breakdown of the skills needed,
(ii) anticipated skill shortages in the Nigerian labour force,
(iii) project specific training requirements, and
(iv) anticipated expenditures that will be made directly by the operator in
implementing the E and T Plan as a forecasted and actual expenditure;

(b) a time frame for employment opportunities for each phase of project
development and operations, to enable members of the Nigerian workforce
to prepare themselves for such opportunities;
(c) the operator or project promoter shall- report to the Board quarterly
on employment and training activities for the reporting period and compare
this to the E and T Plan and the report shall include-
(i) number of new employees hired during the year,
(ii) their place of residence at the time of hiring, and
(iii) their employment status; and
(d) any other information required by the Board for the purposes of
30. Where Nigerians are not employed because of their lack of training, Training of
the operator shall ensure, to the satisfaction of the Board, that every reasonable Nigerians.
effort is made within a reasonable time to supply such training locally or
elsewhere and such effort and the procedure for its execution shall be contained
in the operator's E and T Plan.
31.-(1) For each of its operations, the operator shall submit to the Requirement
for
Board a succession plan for any position not held by Nigerians and the plan
succession
shall provide for Nigerians to understudy each incumbent expatriate for a plan.
maximum period of four years and at the end of the four year period the
position shall become Nigerianised.
(2) All indigenous (Nigerianised) positions shall attract salaries, wages
and benefits as provided for in the operators' conditions of service for Nigerian
employees.
(3) All conditions of service and staff demography for all operators shall
be made available to the Board.
32. For each of its operations, an operator or project promoter may retain Allowance
a maximum of five per cent of management positions as may be approved by for
the Board as expatriate positions to take care of investor interests. expatriate
position
33. (1) Upon the commencement of this Act, the operators shall make
Approval of
application to, and receive the approval of, the Board before making any Board for
application for expatriate quota to the Ministry of Internal Affairs or any application
other agency or Ministry of the Federal Government. for
(2) The application shall be detailed and shall include- Expatriates.
(a) job Titles;

(b)description of responsibilities;
(c) the duration of the proposed employment in Nigeria; and

(d) any other information required by the Board for purposes of
implementing the provision of this Act.
34. Notwithstanding the provisions of the Schedule to this Act, all
projects or contracts whose total budget exceeds $100 million (USD) shall
contain a "Labour Clause" mandating the use of a minimum percentage of
Requirement Nigerian labour in specific cadres as may be stipulated by the Board.
for Labour
Clause.
35. All operators and companies operating in the Nigerian oil and gas
industry shall employ only Nigerians in their junior and intermediate cadre
Schedule or any other corresponding grades designated by the operator or company.
Compliance 36. The Minister shall make regulations with requirements and targets
by the for the growth of research and development in the Nigerian oil and gas industry.
operators.
37. For every project for which a plan is submitted, an operator shall
Research and carry out a programme and make expenditure, to the satisfaction of the Board,
development
for the promotion of education, attachments, training, research and
regulations.
development in Nigeria in relation to its work programme and activities.
Programme 38.-(1) The operator shall submit to the Board and update, every six
for research
months, the operator's Research and Development Plan (R and D Plan).
and
development. (2) The Rand D Plan shall-
Submission (a) outline a revolving three to five year plan for oil and gas related
and content research and development initiatives to be undertaken in Nigeria, together
of R and D with a breakdown of the expected expenditures that will be made in
plan. implementing the Rand D Plan; and
(b) provide for public calls for proposals for research and development
initiatives associated with the operator's activities.
39. The operator shall report to the Board, on quarterly basis, with respect
to its Rand D activities and the Board shall compare these activities to the
operators Rand D Plan.
Report on R 40.-(1) The Minister shall make regulations establishing the minimum
and D plan. standards, facilities, personnel and technology for training in the oil and gas
industry.
Regulations
for training. (2) The regulations shall specify modalities for involving operators as
partners in training and development.
41.-(1) The Minister shall make regulations setting out targets to
ensure-
(a) full utilization and steady growth of indigenous companies engaged
in exploration; Regulations
(b) seismic data processing; for further
(c) engineering design; growth of
(d) reservoir studies; indigenous
(e) manufacturing and fabrication of equipment; and capacity.
(f) other facilities as well as the provisions of other support services for
the Nigeria oil and gas industry.
(2) International or multinational companies working through their
Nigerian subsidiaries shall demonstrate that a minimum of 50% of the
equipment deployed for execution of work are owned by the Nigerian
subsidiaries.
42. The Minister shall make regulations which shall require any operator
or company or its professional employees engaged in the provision of
engineering or other professional services in the Nigerian oil and gas industry
to be registered with the relevant professional bodies in Nigeria. Regulations
for
registration
with
43. Each operator shall carry out a programme in accordance with the Nigerian
professional
country's own plans and priorities, to the satisfaction of the Board, for the
bodies.
promotion of technology transfer to Nigeria in relation to its oil and gas
activities. Programme
for
44. The operator shall submit to the Board annually a plan, satisfactory technology
to the Board, setting out a programme of planned initiatives aimed at promoting transfer
the effective transfer of technologies from the operator and alliance partners plan.
to Nigerian individuals and companies.
Submission
45. The operator shall give full and effective support to technology of
transfer by encouraging and facilitating the formation of joint ventures, technology
partnering and the development of licensing agreements between Nigerian transfer
plan.
and foreign contractors and service or supplier companies agreements for all
Support of
such joint ventures or alliances shall meet the requirements of Nigerian content technology
development to the satisfaction of the Board. transfer.
46. The operator or project promoter shall submit a report to the Board
annually describing its technology transfer initiatives and their results and
the Minister shall make regulations setting targets on the number and type of
such joint venture or alliances to be achieved for each project.
47. The Minister shall make regulations which shall require any operator Technology
transfer
to invest in or set up a facility, factory, production units or other operations
report.
within Nigeria for the purposes of carrying out any production, manufacturing
Regulations or for providing a service otherwise imported into Nigeria.

to establish
operations in 48. The Minister shall consult with the relevant arms of Government on
Nigeria. appropriate fiscal framework and tax incentives for foreign and indigenous
companies which establish facilities, factories, production units or other
Fiscal operations in Nigeria for purposes of carrying out production, manufacturing
incentives
or for providing services and goods otherwise imported into Nigeria.
49.-(1) All operators, project promoters, alliance partners and Nigerian
indigenous companies engaged in any form of business, operations or contract
in the Nigerian oil and gas industry, shall insure all insurable risks related to
Insurance its oil and gas business, operations or contracts with an insurance company,
and through an insurance broker registered in Nigeria under the provisions of
reinsurance Insurance Act as amended.
business.
Cap. (2) Each operator in subsection (1) of this section shall submit to the
117 LFN Board, a list of all insurance companies and insurance brokers through which
2004. insurance covers were obtained in the past six months, the class of insurance
cover obtained and the expenditures made by the operator;
(3) The insurance programme shall include-
(a) a comprehensive report of-
(i) insurance covers obtained in the past six months of all insurance
by expenditure,
(ii) a forecast of insurance covers required during the next six months,
and
(iii) the projected expenditure for the covers;
Days of
(b) a list of-
Election.
(i) all insurance companies brokers through which insurance covers
were obtained in the past six months,
(ii) the class of insurance cover obtained, and
(iii) the expenditures made by the operator; and
(c) the annual insurance premium budget for the past one year in Naira
and foreign currencies.
50. No insurance risk in the Nigerian oil and gas industry shall be placed
offshore without the written approval of the National Insurance Commission
which shall ensure that Nigerian local capacity has been fully exhausted.
Approval for 51.-(1) All operators, contractors and other entities engaged in any
offshore operation, business or transaction in the Nigerian oil and gas industry
insurance. requiring legal services shall retain only the services of a Nigerian legal
practitioner or a firm of Nigerian legal practitioners whose office is located Legal

in any part of Nigeria. Services
(2) All operators shall submit to the Board, every six months, its Legal
Services Plan (LSP).
(3) The LSP shall include-
(a) comprehensive report on;-
(i) legal services utilized in the past six months by expenditure,
(ii) a forecast of legal services required during the next six months,
and
(iii) the projected expenditure for the services;
(b) a list of-
(i) external solicitors utilized for legal services in the past six months,
(ii) the nature of work done, and
(iii) the expenditure made by the operator; and
(c) the
annual legal services budget for the past one year in Naira and
foreign currencies.
52.-(1) All operators, contractors and any other entity engaged in any
operation, business or transaction in the Nigerian oil and gas industry
requiring financial services shall retain only the services of Nigerian
financial institutions or organizations, except where, to the satisfaction of Financial
the Board, this is impracticable. Services
(2) All operators shall submit to the Board, every six months it's Financial
Services Plan (FSP).
(3) The FSP shall include-
(a) financial services utilized in the past six months by expenditure;
(b) a forecast of financial services required during the next six months;
(c) the projected expenditure for the services;
(d) A list of -
(i) financial services utilized in past six months,
(ii) the nature of financial services provided, and
(iii) the expenditure for financial services;
(e) a list of-
(i) financial services utilized in the past six months,
(ii) the nature of financial services provided, and
(iii) the expenditure for financial services made by the operator or
its main contractors;
(f) all operators, contractors and sub-contractors shall maintain a bank
account in Nigeria in which it shall retain a minimum of 10 per cent of its
total revenue accruing from its Nigerian operations.
.
.
53. As from the commencement of this Act, all operators, project
promoters, contractors and any other entity engaged in the Nigerian oil and
gas industry shall carry out all fabrication and welding activities in the country.
Prohibition
of
importation
54. The Board shall establish an oil and gas e-marketplace which shall-
of welded
products. (a) provide a virtual platform to facilitate the transactions required for
Petroleum e-
efficient delivery of goods and services in the industry;
marketplace.
(b) provide functional interface with the Joint Qualification System and
provide a universal and transparent governance structure drawn from
industry stakeholder ;
(c) perform all other functions, roles and responsibilities to be set out in
the regulations to be made by the Minister in accordance with the provisions
of this Act.
(d) track and monitor the Nigerian content performance of operators,
project promoters as well as suppliers and service providers with the
provision of relevant feedback.
55. The Board shall establish, maintain and operate a Joint Qualification
System (JQS) in consultation with industry stakeholders which shall be
administered in accordance with provisions set out in the Regulations to be
Establishment made by the Minister in accordance with the provisions of this Act.
of Joint
Qualification 56. The Joint Qualification System shall constitute an industry databank
System. of available capabilities and shall be used for -
(a) sole system for Nigerian content registration and pre-qualification
of contractors in the industry ;
Functions of
(b) verification of contractors' capacities and capabilities;
the Joint
Qualification (c) evaluation of application of Nigerian content in the operations of oil
System. companies and contractors;
(d) data base for national skills development pool; and
(e) ranking and categorization of old service companies based on
capabilities and Nigerian content.
57. The Board shall set up a consultative body to be known as the
Nigerian Content Consultative Forum (NCCF) which shall provide a platform
for information sharing and collaboration in the Nigerian oil and gas industry
with respect to-
Setting up of
(a) upcoming projects in the oil and gas industry;
Nigerian
Content (b) information on available local capabilities; and
Consultative (c) other policy proposals that may be relevant to Nigerian content
Forum development.
58. The Nigerien Content Consultative Forum shall be made up of key

industry stakeholders, government and regulatory agencies and representatives
from the following sectors-
(a) fabrication; Composition
(b) engineering; of Nigerian
(c) finance services, legal and insurance; Content
(d) shipping and logistics; Consultative
Forum.
(e) materials and manufacturing;
(f) information and communication technology;
(g) petroleum technology association of Nigeria;
(h) education and training; and
(i) any other professional services nominated by the Board.
59. The Nigerian Content Monitoring Board shall undertake an effective
monitoring of the implementation of the provisions of this Act.
Powers of
NCMB to
monitor
60. Within sixty days of the beginning of each year, each operator shall implementa-
submit to the Board their annual Nigerian Content Performance Report tion of this
Act.
covering all its projects and activities for the year under review.
Requirements
for
submission
of Nigerian
61. Subject to section 60, the report shall specify by category of
Content
expenditure the Nigerian content on both a current and cumulative cost basis Performance
and shall set out- Report.
(a) employment achievement in terms of hours or days worked by Content of

Nigerian and foreign workers and their status; and performance
report.
(b) procurement achievement in terms of quantity, tonnage of locally
manufactured materials and materials of foreign origin.
62. The Board shall undertake regular assessment and verification of
the Nigerian Content Performance Report filed by all operators in compliance
with the provisions of this Act as may be considered appropriate by the Board.
Assessment
63. The Board shall issue directives to operators, contractors and other and
verification
entities or persons in order to develop a process to facilitate reporting of
of
activities relating to any aspect of this Act. performance
report
Directives to 64. For the purposes of assessment and verification, all operators and
facilitate contractors shall provide the Board or its designated agent with access to
reporting. their facilities and all documentation and information required for
substantiating the Nigerian content reported.
Access to
facilities for
assessment 65. The operator shall ensure that its partners, contractors and
and subcontractors are contractually bound to report Nigerian content information
verification to the operator and, if so requested by the Board, directly to the Board, and to
purposes.
allow the Board or its designated agent access to their records for the purposes
of assessment and verification of Nigerian content information reported to
Requirements
for third
the operator or the Board.
party access 66. The operators shall effectively communicate its Nigerian content
and
reporting
policies and procedures to its contractors and subcontractors and to monitor
and enforce their compliance.
Responsibility
to
communicate
Nigerian
content 67. The Board shall conduct workshops, conferences, seminars, symposia
policies to and any other public forum considered as appropriate for the benefit of
contractors. operators, contractors, the public and other stake holders to enhance the
Responsibility
implementation of the provisions of this Act.
of Board
for
68. An operator, contractor or sub-contractor who carries out any project
enlightenment
on Nigerian contrary to the provisions of this Act, commits an offence and is liable upon
content. conviction to a fine of five per cent of the project sum for each project in
which the offence is committed or cancellation of the project.
Offences
and PART II-ESTABLISHMENT OF THE NIGERIAN CONTENT MONITORING BOARD
penalties
69.-(1) There is established the Nigerian Content Monitoring Board
(in this Act referred to as "the Board") which shall have the functions and
powers conferred on it by this Act.
Establishment
(2) The Board-
of the (a) shall be a body corporate with perpetual succession and a common
Nigerian seal; and
Content
(b) may sue and be sued in its corporate name.
Monitoring
Board. 70. The functions of the Board shall be to-
(a) implement the provisions of this Act;
(b) implement the regulations made by the Minister in relation to any
aspect of this Act; Functions of

the Board
(c) supervise, coordinate, administer, monitor and manage the
development of Nigerian content in the Nigerian oil and gas industry;
(d) supervise, coordinate, administer and monitor the implementation
and development of Nigerian content as specified in the Schedule to this
Act in the operations of operators, contractors and all other entities in the
Nigerian oil and gas industry; Schedule
(e) appraise, evaluate and approve the Nigerian content plans and reports
submitted to the Board in compliance with the provisions of this Act;
(f) award Certificate of Authorization and conduct reviews of the
Nigerian content plans and reports submitted to the Board in compliance
with the provisions of this Act;
(g) administer and operate i.lle e-market place and Joint Qualifications
Systems set up in accordance with the provisions of this Act;
(h) assist local contractors and Nigerian companies to develop their
capabilities and capacities to further the attainment of the goal of developing
Nigerian content in the Nigerian oil and gas industry;
(i) make procedures to guide the implementation of this Act and ensure
compliance with all the provisions of this Act;
(j) monitor and coordinate the Nigerian content performance of all
operators in accordance with the provisions of this Act;
(k) make auditing procedures and conduct regular audits for the purposes
of monitoring and implementing compliances with the provisions of this Act;
(l) provide guidelines, definitions and measurement of Nigerian content
and Nigerian content indicator to be utilized throughout the industry;
(m) conduct studies, researches and investigations that may further the
attainment of the goal of developing Nigerian content in the Nigerian oil
and gas industry ;
(n) organize conferences, workshops, seminars, symposia, trainings, road
shows and other public education fora to further the attainment of the goal
of developing Nigerian content in the Nigerian oil and gas industry ;
(o) delegate any of its functions to any agent or operative appointed by
the Council ; and
(p) do legally anything necessary to be done to facilitate the carrying
out of its functions.
71.-(1) There is established for the Board the Governing Council (in
this Act referred to as the "Council") which shall conduct the affairs of the
Board.
Establishment (2) The Head Office of the Council and the Board shall be located in
of the any of the oil or gas producing States of the Federation.
Governing
Council of (3) The Council may establish branch offices of the Board in any of the
the Board.
gas or oil producing States of the Federation.
Composition 72. The Council shall consist of-
of the
Council. (a) a Chairman who shall be the Minister of Petroleum Resources;
(b) a representative of-
(i) Nigerian National Petroleum Corporation,
(ii) the agency in charge of technical regulation of the industry,
(iii) Ministry of Petroleum Resources,
(iv) Petroleum Technology Association of Nigeria,
(v) Nigerian Content Consultative Forum,
(vi) Council of Registered Engineers of Nigeria,
(vii) National Insurance Commission; and
(c) Executive Secretary who shall be the Secretary of the Council.
Appointment
73.-(1) The Chairman and members of the Council shall be appointed
of Chairman
and by the President and shall be persons of proven integrity and ability.
Membership
of the (2) The membership of the Council shall be on part time basis.
Council.
Status of
74. The Executive Secretary shall be on full time status.
appointment
of Executive
Secretary.
Powers of 75.-(4) The Council shall have power to-

the Council.
(a) manage and superintend the affairs of the Board;
(b) make rules and regulations for the proper functioning of the Board;
(c) employ and pay the staff of the Board appropriate remuneration
commensurate in scale with that of staff in organizations of similar
stature; and
(d) enter into any negotiation, agreement and contractual relationship
as may be necessary or expedient for the discharge of the functions of the
Board.
76. Subject to the provisions of section 75 of this Act, the Chairman and
members of the Council shall each hold office-
(a) for a term of four years and may be re-appointed for a further term
of four years and no more ; and Tenure of
office.
(b) on such terms and conditions as may be specified in their letters of
appointment.
77. A person shall cease to hold office as a member of the Council if -
(a) he dies;
(b) he becomes bankrupt;
Cessation of
(c) he is convicted of a felony or any offence involving dishonesty or membership
fraud; of Council.
(d) he becomes of unsound mind or is incapable for any reason of carrying

out his duties;
(e) he is guilty of a serious misconduct in relation to his duties;
(f) in the case of a person possessed of a professional qualification, he
is disqualified or suspended, other than at his own request, from practising
his profession in any part of the world by an order of a competent authority
made in respect of that member; or
(g) he resigns his appointment by written notice under his hand to the
President.
78. Where a member ceases to hold office for any reason before the
expiration of his term, another person representing the same interest as
that member shall be appointed in his place to finish the unexpired residue
of the term.
Replacement
79. The President may remove a member if he is satisfied that it is not of
in the interest of the Board or the public that the member continues in that membership.
office.
80. A member of the Council shall be paid such allowances and expenses Removal of
as may be determined by Revenue Mobilization, Allocation and Fiscal members.
Commission using the scale applicable in Nigeria oil and gas industry.
81.-(1) There shall be an Executive Secretary for the Board, who Remuneration
shall be appointed by the President. of members
(2)The Executive Secretary shall be-

Appointment of
(a) the Chief Executive and Accounting Officer of the Board; Executive
(b) responsible to the Council for the execution of the policies and the Secretary,
administration of the daily affairs of the Board; and his function
and tenure
(c) a graduate of at least 15 years with cognate experience in the Nigeria
oil or gas industry.
(3) The Executive Secretary-
(a) shall be appointed for a term of four years in the first instance; and
(b) may be appointed for a further term of four years and no more.
Tenure of 82. The Executive Secretary shall be paid such remuneration as may be
Office specified in his letter of appointment or as determined by the Revenue
Mobilization, Allocation and Fiscal Commission using the scale applicable
in the Nigeria oil and gas industry.
Remuneration
83. The Executive Secretary shall cease to hold office if any of the
of the conditions specified in section 77 pertaining to cessation of membership of
Executive the Council applies to him.
Secretary,
84. The Executive Secretary may resign his appointment by a written
Cessation of notice under his hand delivered to the President.
office.
Resignation
85. The Council may appoint for the Board such number of employees
of as may in the opinion of the Council be expedient and necessary for the proper
appointment and efficient performance of the functions of the Board and shall pay them
Other staff remunerations and allowances as it determines using the scale applicable in
the Nigeria oil and gas industry.
86. The Council shall have power to appoint for the Board either directly
or on secondment from the Public Service of the Federation, such number of
employees as may, in the opinion of the Council, be required to assist the
Board in the discharge of any of its functions under this Act.
Direct 87. The person seconded under Section 85 may elect to be transferred
appointment to the service of the Board and the previous service he may have rendered in
and
the public service shall count as service to the Board for the purpose of any
secondment
pension subsequently payable by the Board.
Transfer of 88. There shall be established in the head office of the Board-
service
(a) the Directorate of Finance and Personnel Management;
(b) the Directorate of Planning, Research and Statistics;
(c) the Directorate of Monitoring and Evaluation;
Directorates. (d) the Directorate of Legal Services; and

(e) any other Directorate which the Council may establish.
89.-(1) The Service in the Board shall be approved service for the
purposes of the Pension Reform Act.
(2) The officers and other persons employed in the Board shall be entitled
to pension, gratuities and other retirement benefits as are enjoyed by persons Service in
holding equivalent ranks in the Civil Service of the Federation. the Board.
(3) Nothing in subsections (1) and (2) of this section shall prevent the Act No. 2,
appointment of a person to any office- on terms which preclude the grant of 2004
pension and gratuity in respect of that office.
Funds of the
90.-(1) The Board shall establish and maintain a fund to which all Board
monies accruing to it shall be paid into or from which shall be defrayed all
expenditure incurred by the Board.
(2) The Fund of the Board shall consist of-
(a) all subventions and budgetary allocations provided by the Federal
Government;
(b) sums accruing to the Board by way of donations, gifts, grants,
endowment, bequest or otherwise;
(c) interest and revenue accruing from savings and investments made
by the Board;
(d) loans, which may be required from time to time for the objects of
the Board, provided that the Board shall not, without the prior approval of
the President, borrow money in compliance with the provisions of the Fiscal
Act No. 31
Responsibility Act; and of 2007.
(e) other revenues accruing to the board from any other source.
91. The Council shall, not later than 30th September of each year, submit
to the National Assembly, through the Minister, an estimate of the projected
expenditure of the Board during the next succeeding year and shall include a
copy of the audited accounts of that year and a copy of the auditor's report. Budgetary
92.-(1) The Board may accept gifts of money, land or other property and
estimates
on such terms and conditions, if any, as may be specified by the person or
report.
organization making the gift.
Gift to the
(2) The Board shall not accept any gift if the conditions attached thereto Board
are inconsistent with the functions of the Board under this Act.
93. The Council shall approve any expenditure of the Board and shall-
(a) issue proper accounts and records of the transactions and affairs of
the Board and ensure that all expenditure is duly authorized;
(b) prepare in respect of each financial year, a statement of account in Expenditure
and account
such form as the Auditor-General may direct.
94. The audit of the council shall be in accordance with the provisions
of the Constitution of the Federal Republic of Nigeria, 1999.

95.-(1) For the purpose of providing offices and premises necessary
Audit
for the performance of its functions under this Act, the Board may, subject to
the Land Use Act-
Acquisition
of land or
(a) purchase or lease any interest in land or other property; and
interest in (b) construct offices and premises, equip and maintain same.
land for
office use. (2) The Board may, subject to the Land Use Act, sell or lease out any
Cap. L5 office or premises held by it, which office or premises is no longer required
LFN.2004. for the performance of its functions under this Act.
96. The provisions of the Public Officer's Protection Act shall apply in
relation to any suit instituted against any officer or employee of the Board in
his capacity as such.
Legal 97. A member of the Council, the Executive Secretary, any officer or
proceeding employee of the Board shall be indemnified out of the assets of the Board
Cp P41 against any proceeding, whether civil or criminal, in which judgment is given
LFN, 2004. in his favour or in which he is acquitted, if any such proceeding is brought
against him in his capacity as a member, Executive Secretary, officer or
Indemnity of
employee of the Board.
officers.
98. A notice, summons or other document required or authorized to be
Service of served upon the Board under this Act or any other law or enactment may be
documents.
served by delivering it to the Executive Secretary or by sending it by registered
post and addressed to the Executive Secretary at the head office of the Board.
99. The Executive Secretary may with the approval of the Council engage
persons with knowledge or experience in Nigerian content development or in
Engagement of
professionals matters relevant to the functions of the Board to assist the Board in the
and other performance of its functions.
staff.
100. The Minister may issue to the Board directives in relation to
Power of the Nigerian content development with respect to the application, administration
Minister to and implementation of this Act.
give
directive to
the Board.
101.-(1) The Minister shall make regulations generally for the purpose
Registration.
of carrying out or giving effect to the provisions of this Act.
(2) The Minister shall conduct a review of the Schedule to this Act
every two years with a view to ensuring a measurable and continuous growth
in Nigerian content in all projects, operations, activities and transactions in
the Nigerian oil and gas industry.
(3) The Council shall make standing orders regulating its proceedings Schedule.
or those of its standing committees in consultation with the Minister.
102. Subject to the approval of the Minister, the Board shall conduct a
review of the Schedule to this Act at such intervals as it may determine but
not later than every two years with a view to ensuring a measurable and
continuous growth in Nigerian content in all projects, operations, activities
and transactions in the Nigerian oil and gas industry for onward transmission
to the National Assembly. Review of
the
103. Upon the commencement of this Act, all functions and powers Schedule.
conferred on any agency or department of the Federal Government of Nigeria
to carry out the implementation of Nigerian content development or policy in
the Nigerian oil and gas industry by any law or enactment is hereby transferred
to the Nigerian Content Monitoring Board established under this Act.
Savings and
104.-(1) A Fund to be known as the Nigerian Content Development transitional
provision.
Fund (the "Fund") is established for purposes of funding the implementation
of Nigerian content development in the Nigeria oil and gas industry.
(2) The sum of one per cent of every contract awarded to any operator,
contractor, subcontractor, alliance partner or any other entity involved in any Establishment
project, operation, activity or transaction in the upstream sector of the Nigeria of Nigerian
Content
oil and gas industry shall be deducted at source and paid into the Fund. Development
Fund.
(3) The Fund shall be managed by the Nigerian Content Development
Board and employed for projects, programmes, and activities directed at
increasing Nigerian content in the oil and gas industry.
105. The Nigerian Content Monitoring Board in conjunction with
NIMASA shall have powers to enforce compliance with relevant sections of
Coastal and Inland Shipping (Cabotage) Act in relation to matters pertaining
to Nigerian content development.
106. In this Act-
Enforcement
"Joint Qualification System" means the industry databank of available of
capacities and capabilities in the Nigerian oil and gas industry; compliance Act
No 5,2003
"Labour Clause" means a clause mandating the use of a minimum
percentage of Nigerian Labour in professional cadres in all contracts awarded
in the Nigerian petroleum industry above a threshold value as stipulated by Interpreta-
the Minister from time to time; tion
"Minister" means the Minister of Petroleum Resources;
"Nigerian Company" means a company formed and registered in Nigeria
in accordance with the provision of Companies and Allied Matters Act with
not less than 51 % equity shares by Nigerians;
.
.
"NNPC' means Nigeria National Petroleum Corporation;

"NNPC Joint Ventures Partners" means oil companies that executed
various petroleum agreements with NNPC ;
"Nigerian Content" means the quantum of composite value added to or
created in the Nigerian economy by a systematic development of capacity
and capabilities through the deliberate utilization of Nigerian human, material
resources and services in the Nigerian oil and gas industry;
"Nigerian Content Indicator" means a percentage rating of a company
based on specific criteria defined on the basis of values ascribed to each
criterion;
"Nigerian Oil and Gas Industry" means all activities connected with
the exploration, development, exploitation, transportation and sale of Nigerian
oil and gas resources including upstream and downstream oil and gas
operations ; .
"Operator" means the Nigeria National Petroleum Company (NNPC),
its subsidiaries and joint venture partners and any Nigerian, foreign or
international oil and gas company operating in the Nigerian oil and gas industry
under any petroleum arrangement;
"Partner" means any foreign company working on any project in
partnership or as major contractor to an operator;
"Plan" means a Nigerian content plan submitted in compliance with
any aspect of this Act;
"Oil and Gas e-market Place" means a virtual platform for buyers and
sellers of goods and services in the oil and gas industry that allows for speedy
and transparent transactions.
Citation. 107. This Act may be cited as the Nigerian Oil and Gas Industry Content
Development Act, 2010.
SCHEDULE Sections 3(2), 11(1), (2), (3)

and (4),34 and 70(d)
CODE DESCRIPTION NIGERIAN CONTENT (NC) LEVEL

2010 No 2 Nigerian Oil and Gas Industry Content Development Act
FEED AND DETAILED ENGINEERING AND

OTHER ENGINEERING SERVICES
Description NC% Measured

Unit
FEED and Detailed engineering on Onshore
facilities , 90% Man-Hour
FEED and Detailed engineering on Offshore
facilities-
Shallow Water 90% Man-Hour
FE.ED and Detailed engineering on LNG facility 50% Man-Hour
FEED and Detailed engineering on Gas gathering
Facilities 90% Man-Hour
FEED and Detailed engineering on Deep offshore
facilities-Hull and topside modules 80% Man-Hour
FEED and Detailed engineering on Deep offshore
Floating concrete structure 80% Man-Hour
FABRICATION AND CONSTRUCTION
Unit
Terminal/Oil Movement Systems 80% Volume
Drilling Modules/Packages 75% Tonnage
Piles, Anchors, Buoys, Jackets, Bridges, Flare
Booms, Storage Tanks, Pressure Vessels 80% Tonnage
Umbilical 60% Tonnage
Topside module (process modules and storage
modules) 50% Tonnage
Accommodation module 70% Tonnage
Subsea Systems 60% Tonnage
Pipeline Systems 100% Tonnage
Risers 100% Tonnage
Utilities module/packages 50% Tonnage
MATERIALS AND PROCUREMENT
Measured
Description NC% Unit
Steel plates, Flat Sheets, Sections 100% Tonnage

Steel Pipes 100% Tonnage
Low Voltage Cables 90% Length
High Voltage Cables 45% Length
Valves 60% Number
Drilling mud-Baryte, Bentonite 60% Tonnage
Cement (Portland) 80% Tonnage
Cement (Hydraulic) 60% Tonnage
Heat exchangers 50% Number
Steel Ropes 60% Tonnage
Protective paints 60% Litres
Glass Reinforced Epoxy (GRE) pipes 60% Tonnage
WELL AND DRILLING SERVICES/PETROLEUM TECHNOLOGY

Unit
Reservoir Services 75% Spend
Well completion services (permanent gauges and

intelligent wells) 80% Spend
Wire line services (electric open holes, electric

cased hole, slick line) 45% Spend
Logging While Drilling (LWD) services 75% Man-Hour
Measurement While Drilling (MWD) (direction and
inclination/Gamma ray) 90% Man-Hour
Production drilling service 85% Man-Hour
Performance services (T and P) 90% Man-Hour
2D Seismic data acquisition services 85% Length
Well Overhauling/Stimulation Services 85% Man-Hour
Wellhead Services 85% Man-Hour
Directional Surveying Services 100% Man-Hour
Cutting Injections/Cutting Disposal Services 100% Man-Hour
Recutting Inspection Services 85% Man-Hour
Cased Hole Logging Services (Gyro, Perforation,
Gauges, Gyro, PLT, Perforation, PLT, Gauges) 90% Man-Hour
Well Watch Services 70% Man-Hour
Cement service 75% Man-Hour
Coiled Tubing Services 75% Man-Hour
Pumping Services 95% Man-Hour
Fluid/Bottom Hole Sampling Services 80% Man-Hour
OCTS Services (Cleaning, hard banding, recutting,
rethreading, storage) 95% Man-Hour
Well Crisis Management Services 90% Man-Hour
Directional Drilling Services 90% Man-Hour

Other Drilling Services 80% Man-Hour
Petro physical Interpretation Services 75% Volume/
Man-hour
Extended Well Test/Early Production
Services including Provision of Floating or
Jack up Production Unit 50% Spend
Provision of all Catering, Cleaning, Office and
Security Service at Location/Platform 80% Spend
Rental of Drill Pipe 75% Spend
Electric Open Hole 45% Spend
Electric ceased Holes 100% Spend
Slick line 100% Spend
Well head Safety panels 100% Spend
CHEMICAL:
Drilling, process, Maintenance 90% Spend
RESEARCH AND DEVELOPMENT SERVICES
(R AND D-RELATED TO OPERATOR'S IN-
COUNTRY
Description NC % Measured
Unit
Engineering Studies - Reservoir, Facilities,
Drilling etc. 60% Spend
Geological and Geophysical Services 80% Spend
Safety and Environmental Studies 75% Spend
Local Materials substitution Studies 75% Spend
EXPLORATION, SUBSURFACE, PETROLEUM
ENGINEERING AND SEISMIC
Unit
3D Seismic Data acquisition services 100% Spend
4D Seismic data processing services 55% Spend
2D Seismic data processing services 100% Spend
Geophysical interpretation services 90% Spend
Geological evaluation services
(Organic Geochemistry, Petrology, Digenesis,
Giostratigraphy, Fluid Characterization,
PVT, Core Analysis, Flooding) 80% Spend
Mud logging services 90% Spend
Coring services 90% Spend
Well Testing Service 55% Spend
Drilling rigs (Swamp) 60% Man-hour
Drilling Rigs (Semi submersibles/Jack ups/Others) 55% Man-hour
Drilling Rigs (Land) 70% Man-Hour
Work-over Rigs (Swamp) 70% Spend
Snubbing Services 80% Spend
Liner Float, Hangers and Running Equipment
Services 55% Spend
Field Development Plan 100% Spend
2D Seismic Data Interpretation Services 100% Spend
Drilling rigs (Land) 70% Man-Hour
TRANSPORTATION/SUPPLY/DISPOSAL
SERVICES
Description Measured
NC%
Unit
Tugs/Remotely Operated Vehicle (ROV)
support/diving support vessels 65% Spend
Barges 95% Spend
Accommodation platforms/Vessels 90% Spend
Disposal/Distribution and Waste Transport
Services 100% Spend
Rental of Cranes and Special Vehicles 75% Spend
Freight Forwarding/Logistics Management
Services 65% Spend
Supply Base/Warehouse/Storage Services 70% Spend
Truck Package/Product Transportation Services 100% Spend
HEALTH, SAFETY AND ENVIRONMENT
Unit
Site Clean-up Service 100% Man-Hour
Pollution Control 45% Spend
Waste Water Treatment Services 65% Man-Hour
Fire and Gas Protection System Services 50% Man-Hour
Ventilation/Heating/Sanitary Services 85% Man-Hours
Waste Disposal/Drainage Services 100% Man-Hours
Industrial Cleaning Services 100% Man-Hours
Disposal/Distribution and Waste Transport
Services etc. 100% Spend
Safety/Protection/Security/fire fighting System
Services 90% Man-Hours
Preservation of Mechanical and Electrical
Components Services 95% Man-Hours
Equipment brokerage services 75% Spend

Temporary Accommodation/Camp Services 80% Spend
Catering Services 100% Spend
Cleaning and Laundry Services 100% Spend
Security Services 95% Spend
Medical Services 60% Spend
Equipment Brokerage Services 75% Spend
Other Supporting Services 85% Spend
Pollution Control 90% Man-hour/
Spend
INFORMATION SYSTEMS/INFORMATION
TECHNOLOGY/COMMUNICATION SERVICES
Unit
Network Installation/Support Services 85% Spend
Software Development and Support Services 45% Spend
Computer Based Modelling Services 51% Spend
Computer Based Simulation/Training Programs
Services 51% Spend
CALICAP Services 51% Spend
Hardware Installation Support Services 50% Spend
Operating System Installation/Support Services 50% Spend
User Support/Help Desk Services 60% Spend
Library Services 70% Spend
IT Management Consultancy Services 50% Spend
Data Management Services 50% Spend
Telecommunication Installation/Support Services 60% Spend
Data and Message transmitting Services 60% Spend
Rental of Telecommunication Lines 75% Spend
Telecommunication Subscription Services 85% Spend
Public Address System Services 95% Spend
Other Information Systems (IS)/Information
Technology (IT) Services 75% Spend
MARINE, OPERATIONS AND LOGISTICS SERVICES
Unit
Telecommunication Services 90% Man-Hour
2010 No. 2 Nigerian Oil and Gas Industry Call tent Development Act
Supply of crew men for domestic coastal services 80% Number
Diving/RO'v/Submersible Operations 70% Man-Hour
Hook-up and Commissioning including Marine
Installation Services 75% Man-Hour
Dredging Service 55% Man-Hour!
Spend
Gravel and Rock Dumping Service 65% Man-Hour
Floating Storage Units (FSU) 45% Man-Hour
Subsea Pipeline Protection Services 55% Man-Hour
Installation of Subsea Package 60% Man-Hour
Mooring System Services 50% Man-Hour
Ship Chandler Service 90% Spend
Moving Services 100% Man-hours/
Spend
Supply Vessels 45% Man-hours/
Spend
Stand-by Vessels 55% Spend
Domestic Clearing of Cargos 30% Spend
Bunkering Services 60% Spend
Marine Insurance 40% Spend
Marine Consulting 40% Spend
Marine Logistic 30% Spend
FINANCE AND INSURANCE
Unit
General Banking Services 100% Usage
Monetary Intermediation Services 70% Usage
Credit Granting Services 50% Loan Amount
Security Braking and Fund Management Services 100% Spend
Financial Management Consultancy Services 70% Spend
Accounting Services 70% Man-hours
Auditing Services 100% Spend
Life Insurance Services lOO Spend
Pension Funding Services %
100% Spend
Non-Life Insurance Services 70% Spend
Insurance Broking Services 100% Spend
INSTALLATION, HOOKUP AND COMMISSIONING
Unit
Surface Treatment, Sandblasting, Painting,
Coating and Fire proofing Services 80% Man-Hour
Subsea construction services 45% Man-Hour

Hook-up and commissioning including marine
installation services 75% Man-Hour
Installation of subs ea packages 45% Man-Hour
Electrical/Instrument Services 45% Man-Hour
Insulation Services 50% Man-Hour
Diving/ROV /Submersible operations 75% Man-Hour
Subsea Construction Services 45% Man-Hour
Pipe Cutting and Bending Services 100% Man-Hour
Catalyst Handling/Regeneration Services 85% Man-Hour
Bolt Tensioning Services 75% Man-Hour
Rope Access Services 70% Man-Hour
Welding and Jointing Services 60% Man-Hour
Maintenance and Modification of Pumps and
Rotating Equipment 65% Man-Hour
Heat Treating and Demagnetising Services 80% Man-Hour
Tank Bottom Sludge Treatment Services 85% Man-Hour
Valve Management Services including Testing
and Repair 85% Man-Hour
Crane Management Services 80% Man-Hour/
Rate
Other Construction/Maintenance Services 80% Man-Hour/
Tonnage/Rate
Pipe laying/Cable Laying Services 50% Man-Hour
Trenching and Excavation Services 100% Man-Hour
Cranes/Crane Barges/Heavy Lift Vessels 100% Man-Hour
Marine Services 65% Man-Hour/
Spend
Subsea Services 45% Man-Hour/
Spend
Well Services 70% Man-Hour/
Spend
Cutting Services 75% Man-Hour/
Spend
Site Services 85% Man-Hour/
Spend
Other Decommissioning and Abandonment
Services 90% Man-Hour/
Spend
Service Station Tank Maintenance/Services 75% Spend
Electrical/Electronic Systems Integration 55% Spend

Process Testing including Helium and Nitrogen
Services 65% Spend
INSPECTION, TESTING AND CERTIFICATION
Unit
Material Technology/ Anti-Corrosion/Surface
Protection Services 85% Man-Hour
Non-Destructive Testing (NOT) Services 60% Man-Hour
Pipeline Flushing, External/Internal Inspection,
Pigging Services 85% Man-Hour/
Rate
Surface Treatment Inspection Services 90% Man-Hour
Pressure Testing Services 90% Man-Hour
Instrument Testing/Calibration Services 85% Man-Hour
Load Testing Services 75% Man-Hour
Diving/ROV operations 65% Man-Hour
Laboratory Testing Services 55% Man-Hour
Dimensional Control/Verification Services 45% Man-Hour
Third Party Measurement Services 45% Man-Hour
Other Inspection Services 45% Man-Hour
Quality Management Systems Certificate 55% Nos. of
Certification
obtained
Environmental Management Systems Certificate 45% Nos.
Safety Management System Certification 45% Nos.
Information Security Management Systems
Certificate 45% Nos.
Certification of Welders 50% Nos.
Certification by NOT personnel 45% Man-Hour
Certification of machinery and equipment 45% Numbers
Certification on NOT Personnel 50% Nos.
Certificate of Machinery 50% Nos.
Certification of Cranes and Lifting Appliances 45% Nos.
Certification of Pressurised Equipment 45% Nos.
Evaluation and Certification of Software and
Electronics (IT) 45% Nos.
Notified Body for Machinery 45% Nos.
Notified Body for simple Pressure Vessels 45% Nos.
Notified Body for Telecommunication Terminal
Equipment 50% Nos.
Notified Body for Personal Protection Equipment 45% Nos

Notified Body for Lifts 50% Nos
Notified Body for Pressure Containing Equipment 45% Nos
Integrity Management Services 50% Nos
Other Certification Services 50% Nos
Other Testing Services 49% Man -Hour
PROJECT MANAGEMENT/CONSULTING
SERVICES
Unit
Construction Management and Supervision
Services 80% Man-Hour
Project Administration Services/Project
Management 80% Man-Hour
Quality Assurance QA/QC Consultancy 45% Man-Hour
Safety, Health and Environment Consultancy 45% Man-Hour
Risk Analysis Consultancy 45% Man-Hour
Personnel/Training System Consultancy
(for Training Courses select 3.99.13) 45% Man-Hour
Legal Consultancy 50% Contracts
Cost and Planning Consultancy 75% Man-Hour
Material Administration Consultancy 75% Man-Hour
Technical Documentation/Document Control
Consultancy 85% Man-Hour
Advertising/Public Affairs/Public Relations
Consultancy 80% Man-Hour
Marketing and Market Research Consultancy 75% Man-Hour
Translation and Manual Writing Consultancy 45% Man-Hour
Welding and Jointing Consultancy 45% Man-Hour
Warranty Surveyors 45% Man-Hour
Third Party Evaluation/Verification Consultancy 50% Spend
Energy Conservation Consultancy 65% Spend
Decommissioning and Abandonment Consultancy 90% Spend
Meteorological Consultancy 55% Spend
Staff Search/Selection Consultancy 80% Spend
Sub-surface Consultancy (Geological,
Geophysical, Reservoir) 90% Spend
Design Consultancy (Industrial Design, Web
Design etc.) 85% Man-Hour
Marine Consultancy 50% Spend
Subsea Consultancy 45% Spend
Career/Outplacement Consultancy 70% Spend

General Management and Business Development
Consultancy 80% Spend
Other Consultancy Services 55% Spend
Pollution and Pollution Control Works and
Consultancy 65% Spend
SURVEYING/POSITIONING SERVICES
Unit
Soil Investigation Services 80% Spend

Navigation/Positioning Services 50% Spend
Geotechnical Services 60% Spend
Geophysical and Hydrographic Site Survey 100% Spend
Oceanographic Services 60% Spend
Rig Positioning Services 65% Spend
Photogrammetric Surveying Services 45% Spend
Chart and Map Production Services 45% Spend
Rental of Surveying/Positioning Equipment Services 45% Spend
Survey and Positioning Support Services 75% Spend
Aeromagnetic Survey 45% Area
MODIFICATION AND MAINTENANCE
Unit
Car Wash Equipment Maintenance/Services
Canopy Equipment Maintenance/Services 90% Spend
Dredging services 90% Spend
Signs and Accessories Maintenance/Services 55% Spend
Services Station Pumps Maintenance/Services 80% Spend
Payment Terminal Maintenance/Services 65% Spend
Service Station Tanks Maintenance/Services 80% Spend
Subsea systems 75% Spend
Pipeline Systems 45% Spend
Risers 60% Spend
Umbilicals 49% Tonnage
Terminal/Oil Movement Systems 51 % Tonnage
Accommodation/Office/Workshop/Storage Modules 70% Volume
Process Modules/Packages 80% Spend
Utilities Modules/Packages 65% Tonnage
Drilling Modules/Packages 80% Tonnage
Buildings including Services Stations 70% Tonnage
Engineering Modification and Maintenance

Services for a Site/Platform 90%
SHIPPING
Unit
Domestic coastal carriage of petroleum products 60% Spend
Tow of oil and gas infrastructure and vessels
conveying Oil and Gas products from or to any
Port or point in Nigerian waters 90% Spend
Supply of very large crude carriers (VLCC) 90% Spend
I certify, in accordance with Section 2 (1) of the Acts Authentication

Act, Cap. A2, Laws of the Federation of Nigeria 2004, that this is a true
copy of the Bill passed by both Houses of the National Assembly.
OLUYEMI OGUNYOMI
Clerk to the National Assembly
29th Day of March. 2010
EXPLANATORY MEMORANDUM
This Act provides for the development of Nigerian content in the

Nigerian oil and gas industry, Nigeria content plan, supervision, co-ordination,
monitoring and implementation of Nigerian content.
SCHEDULE TO NIGERIAN OIL AND GAS INDUSTRY CONTENT DEVELOPMENT BILL, 2010.
(1) (2) (3) (4) (5)

Short Title Long Title of the Summary of the Date passed by Date Passed by
of the Bill Bill Contents of the Bill the Senate the House of
Representatives
Nigerian Oil and A Act to provide for the This B ill seeks to provide for the 10th March, 2010 3rd March, 2010
n
Gas Industry development of Nigerian content development of Nigerian content in
Content in
the Nigerian Oil and Gas Industry, the Nigerian Oil and Gas Industry,
Development Nigerian content plan, supervision, Nigerian content plan, supervision,
Bill, 2010 co-ordination, monitoring and co-ordination, monitoring and
implementation of Nigerian implementation of Nigerian content.
content;
and for related matters.
I certify that this Bill has been carefully compared by me with the decision reached by the National Assembly and found by me to be
true and correct decision of the Houses and is in accordance with the provisions of the Acts Authentication Act Cap. A2, Laws of the
Federation of Nigeria, 2004.
OLUYEMI OGUNYOMI,
Clerk to the National Assembly
29th Day of March, 2010
I ASSENT.
LS
DR GOODLUCK EBELE JONATHAN, GCFR
President of the Federal Republic of Nigeria
22nd Day of April, 2010

NCD MB Handbook of Operational Guidelines

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NIGERIAN CONTENT DEVELOPMENT

Published April 2016

(c) 2016 NCDMB PROPRIETARY

permission of NCDMB is prohibited.

Section 2 of the Act provides that:

Guidelines on Fabrication and Welding: Education, Training, Qualification and

2. Introduction: Local Content in the Nigerian Oil and Gas Industry

3. Definitions and Interpretation

4. Guidelines and Templates

5. Periodic Statutory Reports

6. Implementation and Enforcement

2. INTRODUCTION TO LOCAL CONTENT IN THE

(c) 2016 NCDMB PROPRIETARY

Nigerian Content NC agenda. This stimulated a consciousness in Nigerian Indigenous

LOCAL CONTENT DEFINITION

10. Section 106 of the Act defines Nigerian Content NC as

OBJECTIVES OF THE ACT

All regulatory authorities, operators, contractors, subcontractors, alliance

(c) 2016 NCDMB PROPRIETARY

philosophy for project execution.

THE NIGERIAN CONTENT DEVELOPMENT AND MONITORING BOARD

Functions of the Board

implementation of the Act;

(c) 2016 NCDMB PROPRIETARY

development of Nigerian Content in the Industry; as well as

a. monitor the implementation of set Nigerian Content targets;

14.6 Governing Structure of the Board

14.7 Organizational Structure

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KEY FEATURES OF THE ACT

15.4 Section 106 defines operator as

the Nigerian National Petroleum Corporation (NNPC), its subsidiaries and

any foreign company working on any project in partnership or as major

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NCDMB OPERATIONAL GUIDELINES

17.2 These include the provisions of :

COMPLIANCE AND ENFORCEMENT

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CONTINUOUS ENGAGEMENT WITH STAKEHOLDERS

SOME ACHIEVEMENTS OF THE ACT

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REVIEWS AND/ OR AMENDMENTS

22.3 Review activities shall be conducted to reflect:

d. Government targets as encapsulated in the National Development Plans.

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DEFINITIONS and INTERPRETATION

S/N ABBREVIATION/TERM INTERPRETATION

9. CDI Capacity Development Initiative; An activity directed/geared

11. CBP Capacity Building Plan

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21. ECMI Equipment Component Manufacturing Initiative

46. NCCC Nigerian Content Compliance Certificate

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47. NCCF Nigerian Content Consultative Forum

66. OJT On the Job Training

67. OML Oil Mining Lease

68. Operator The Nigerian National Petroleum Corporation (NNPC), its

69. OPL Oil Prospecting Licence

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71. PETAN Petroleum Technology Association of Nigeria

73. PROPS Projects and Operations Division

74. PTDF Petroleum Technology Development Fund

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